DeepSeek AI Adoption Grows in Developing Nations

HONG KONG — DeepSeek, a rising Chinese tech startup that is positioning itself as a competitor to OpenAI’s ChatGPT, is making notable strides in many developing countries. This trend, as highlighted in a recent Microsoft report, could significantly narrow the artificial intelligence (AI) adoption gap observed between developing nations and advanced economies.

According to the report published on a Thursday, global adoption of generative AI tools has increased to 16.3% of the world’s population in just three months up until December, a slight rise from 15.1% during the previous quarter. However, the report underscores a concerning trend: the gap between AI adoption rates in developed and developing countries is widening. AI adoption in advanced economies has been growing nearly twice as fast as in developing nations. Juan Lavista Ferres, Chief Data Scientist for Microsoft’s AI for Good Lab, articulated concerns over this divide, suggesting that it may continue to expand if not addressed.

Countries such as the United Arab Emirates, Singapore, France, and Spain, which have invested significantly in their digital infrastructures and AI technologies, lead in adoption rates. These findings resonate with data from a Pew Research Center survey released in October, which indicated varying attitudes toward AI in different nations, with South Korea emerging as particularly enthusiastic about the technology.

Microsoft, with vested interests in AI development and a substantial stake in its profitability, emphasized that the lab’s research extends beyond corporate interests. Their findings reveal that DeepSeek is instrumental in boosting AI adoption within the developing world, primarily due to its free and open-source models, which are broadly accessible and modifiable by developers.

The release of DeepSeek’s advanced reasoning AI model, known as R1, in January 2025, positioned it as a cost-effective alternative to OpenAI’s offerings and caught the attention of the global tech community. DeepSeek’s founder Liang Wenfeng even co-authored a paper published in the prestigious journal Nature, marking a significant recognition of its contributions to AI.

Lavista Ferres noted that while DeepSeek serves as an effective model for performing mathematical and coding tasks, it operates under a different paradigm compared to U.S. models, particularly when it comes to politically sensitive topics. Consequently, the nature of responses can vary significantly based on the underlying internet access and regulations in China.

DeepSeek’s offerings, which include a chatbot available on both web and mobile, have opened new doors for users in price-sensitive regions, effectively lowering barriers to entry for millions. This lack of subscription fees has attracted users who may have been underserved by Western AI platforms.

However, its rise has not come without controversy. Nations like Australia, Germany, and the U.S. have sought to restrict the use of DeepSeek due to alleged security concerns. Microsoft also took steps last year to prohibit its employees from using DeepSeek, indicating the level of caution surrounding its technology. Adoption rates for DeepSeek remain low in North America and Europe, but they have spiked in China, as well as in nations like Russia, Iran, Cuba, and Belarus, where access to U.S. tech offerings can be limited.

The prevalence of DeepSeek in these markets is often linked to its integration as a default chatbot on devices produced by Chinese tech giants such as Huawei. Reports estimate that DeepSeek holds a staggering 89% market share in China, followed by 56% in Belarus and 49% in Cuba, both of which exhibit low overall AI adoption. Market shares in Russia, Syria, and Iran range between 23% to 43% as well. In several African nations including Ethiopia, Zimbabwe, Uganda, and Niger, DeepSeek accounts for approximately 11% to 14% of the market.

As the Microsoft report concludes, the potential of open-source AI technologies is that they may act as geopolitical tools, extending Chinese influence in regions where Western platforms struggle to gain traction. While the global landscape for AI adoption evolves, the rise of DeepSeek illustrates how access, affordability, and availability can shape the future of artificial intelligence.