PHILIPPINE COMPANIES looking to adopt open-source artificial intelligence (AI) solutions like DeepSeek must fortify their data handling policies and infrastructure, analysts said.
“DeepSeek AI’s emergence is expected to expand AI accessibility for Philippine businesses by offering cost-effective and localized capabilities, which could accelerate AI adoption across industries,” Matthew Hardman, chief technology officer for Asia-Pacific at Hitachi Vantara, said in an e-mail.
“As with any hosted AI service, its integration presents risks related to data security, governance, and regulatory compliance.”
DeepSeek is a Chinese AI startup company that mainly develops large language models and other solutions at lower costs, disrupting tech giants that have invested billions in AI.
Its recent rise has prompted data privacy and security concerns, with some countries already blocking access to the app, among other regulatory actions.
A 2024 study commissioned by the International Business Machines Corp. (IBM) said that about 61% of information technology (IT) decision-makers across the globe use open-source ecosystems to source their AI tools. Asia-Pacific countries like Indonesia (73%), South Korea (73%) also showed increased reliance on open-source AI.
“While we have seen that cutting-edge AI models can be developed with limited resources, we believe that businesses need to consider more than just benchmark performance when choosing which AI models will suit their unique needs,” Kitman Cheung, pre-sales engineering leader at IBM ASEAN, said in an e-mail.
“Integrating these models safely and ethically across the entire AI lifecycle is just as critical,” Mr. Cheung added.
When adopting open-source AI solutions, Philippine businesses should evaluate where and how their data are processed to ensure compliance with data privacy regulations and global standards, Hitachi Vantara’s Mr. Hardman said.
Using hosted AI services may compromise data security as these allow third parties to access information, but on-device AI will also require robust infrastructure and in-house expertise, he added.
“To navigate these challenges, companies must strengthen their cybersecurity frameworks, establish robust ethical AI practices, and adopt flexible policies to address regulatory uncertainties,” Mr. Hardman said.
“In this whole AI revolution, trust will continue to remain a crucial factor for organizations in the Philippines and beyond when choosing AI models,” IBM’s Mr. Cheung added. — Beatriz Marie D. Cruz
