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Prohibition on Developing Competing AI Models

High severity Medium confidence Explicitdocumentlanguage Unique · 0 of 325 platforms
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Document Record

What it is

You cannot use the DeepSeek-V3 model or its outputs to build other AI models that you distribute or license to others. You may only use it to build models strictly for internal business use that are not shared externally.

This analysis describes what DeepSeek's agreement states, permits, or reserves. It does not constitute a legal determination about enforceability. Regulatory applicability and practical outcomes may vary by jurisdiction, enforcement context, and individual circumstances. Read our methodology

ConductAtlas Analysis

Why it matters (compliance & governance perspective)

This clause prohibits using DeepSeek-V3 or any of its generated outputs as a basis for training or developing external AI models. This restriction goes beyond standard open-source licensing and could affect AI research, fine-tuning pipelines, and commercial AI product development workflows that rely on this model as a foundational component.

Interpretive note: The boundary between permissible internal-use model development and prohibited third-party distribution is not precisely defined and may require case-by-case legal assessment depending on deployment architecture.

Consumer impact (what this means for users)

The agreement prohibits licensees from using DeepSeek-V3 outputs to develop and distribute competing AI models, which limits how developers and AI companies can build on top of this model. Any organization using DeepSeek-V3 outputs in a training pipeline for an externally distributed model is operating outside the terms of this license.

How other platforms handle this

Runway Medium

You may not use any content generated by Runway's tools or services to train, fine-tune, or otherwise develop competing AI models or products without Runway's prior written consent.

AWS Bedrock Medium

You may not use the Services to develop foundation models or other large scale models that compete with Amazon Bedrock or any other AWS Service.

AI21 Labs Medium

You may not use the Services, including any outputs, to develop, train, fine-tune, or improve any machine learning model or artificial intelligence system that competes with AI21's products or services.

See all platforms with this clause type →

Monitoring

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▸ View Original Clause Language DOCUMENT RECORD
"
You will not use the Model Materials or any output therefrom to develop any artificial intelligence models other than this Model, except that you may use the Model Materials and output therefrom to develop models that are exclusively used for your business operations and not licensed or distributed to third parties.

— Excerpt from DeepSeek's DeepSeek Open Source License

ConductAtlas Analysis

Institutional analysis (Compliance & governance intelligence)

REGULATORY LANDSCAPE: This restriction may require evaluation under EU and US competition law. The European Commission's DG COMP and the US FTC both have jurisdiction over potentially anticompetitive licensing practices in technology markets. Where AI model licensing is found to foreclose market entry or restrict competition, regulatory scrutiny is possible, though enforcement outcomes would depend heavily on market definition and market power assessments. GOVERNANCE EXPOSURE: High. The provision's scope is operationally ambiguous: the exception for internal-use models is narrowly defined, but the boundary between 'internal use' and 'distributed to third parties' may be unclear in cloud deployment, API service, or embedded model scenarios. Legal teams must assess all AI development pipelines that incorporate DeepSeek-V3 outputs. JURISDICTION FLAGS: Global. EU competition law and US antitrust law create the most significant jurisdictional exposure. The clause may also interact with open-source AI governance norms in jurisdictions that have adopted or are developing AI-specific regulatory frameworks. CONTRACT AND VENDOR IMPLICATIONS: Any B2B agreement in which DeepSeek-V3 is a component of a delivered AI solution should be reviewed to determine whether the delivered model constitutes a 'third-party distribution' under this restriction. Vendors and integration partners should be assessed against this clause in procurement due diligence. COMPLIANCE CONSIDERATIONS: Legal and technical teams should audit all AI development workflows that use DeepSeek-V3 or its outputs to identify any pipeline that produces a model distributed externally. Internal policy should be updated to flag DeepSeek-V3 as a restricted-use component in AI development governance frameworks.

Full compliance analysis

Regulatory citations, enforcement risk, and due diligence action items.

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Applicable agencies

  • FTC
    The FTC has jurisdiction over anticompetitive and unfair commercial practices; a licensing restriction that forecloses competing AI model development may warrant evaluation under Section 5 of the FTC Act.
    File a complaint →

Applicable regulations

CFAA
United States Federal
Trump Executive Order on AI Policy Framework
US

Provision details

Document information
Document
DeepSeek Open Source License
Entity
DeepSeek
Document last updated
May 11, 2026
Tracking information
First tracked
May 11, 2026
Last verified
May 12, 2026
Record ID
CA-P-010931
Document ID
CA-D-00784
Evidence Provenance
Source URL
Wayback Machine
Content hash (SHA-256)
5a1eeb26edc0314dea0217553f095f223998aa4e03f5f9f3c2df005738ccb28d
Analysis generated
May 11, 2026 12:01 UTC
Methodology
Evidence
✓ Snapshot stored   ✓ Hash verified
Citation Record
Entity: DeepSeek
Document: DeepSeek Open Source License
Record ID: CA-P-010931
Captured: 2026-05-11 12:01:12 UTC
SHA-256: 5a1eeb26edc0314d…
URL: https://conductatlas.com/platform/deepseek/deepseek-open-source-license/prohibition-on-developing-competing-ai-models/
Accessed: May 13, 2026
Permanent archival reference. Stable identifier suitable for legal filings, compliance documentation, and research citation.
Classification
Severity
High
Categories

Other risks in this policy

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Frequently Asked Questions

What does DeepSeek's Prohibition on Developing Competing AI Models clause do?

This clause prohibits using DeepSeek-V3 or any of its generated outputs as a basis for training or developing external AI models. This restriction goes beyond standard open-source licensing and could affect AI research, fine-tuning pipelines, and commercial AI product development workflows that rely on this model as a foundational component.

How does this clause affect you?

The agreement prohibits licensees from using DeepSeek-V3 outputs to develop and distribute competing AI models, which limits how developers and AI companies can build on top of this model. Any organization using DeepSeek-V3 outputs in a training pipeline for an externally distributed model is operating outside the terms of this license.

Is ConductAtlas affiliated with DeepSeek?

No. ConductAtlas is an independent monitoring service. We are not affiliated with, endorsed by, or sponsored by DeepSeek.