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DeepSeek, the brand new Chinese language AI that has despatched shockwaves by means of the synthetic intelligence business by providing a sooner, cheaper and extra energy-efficient mannequin than OpenAi’s ChatGPT, has caught opponents completely off guard and left them scrambling to determine the way to compete. The massive query, nevertheless, is whether or not DeepSeek is a software you need to use in your actual property apply. There are highly effective causes you could wish to keep away from DeepSeek altogether.
Once I learn that DeepSeek had knocked OpenAi’s ChatGPT from its No. 1 spot on the Apple App Retailer, I turned to ChatGPT for its take. I additionally independently investigated what different points will more than likely impression the true property business.
My dialog with ChatGPT
I’ve been utilizing ChatGPT nearly day by day for the final two years for superior search outcomes, useful resource concepts and hyperlinks for my articles. I additionally like having the ability to get assist with a thorny concern I could also be combating or a fast, clear rewrite of a complicated paragraph.
ChatGPT (a generative AI that’s able to coaching itself), has lately undergone a serious shift. I’ve had a number of conversations in the previous couple of months through which it wished to know my opinion. I believe that is one other side of how the generative AI is coaching itself, however it’s a notable step ahead. You’ll see its request for my enter within the italicized a part of the dialog beneath.
Me: What’s your tackle how DeepSeek will impression you?
“I see it as exciting rather than threatening. More competition in AI innovation usually leads to better tools for users. If OpenAI draws inspiration from DeepSeek (or even integrates its capabilities), it could mean even better collaborative experiences for us. The more refined I get at understanding your needs, the better I can assist!”
Me: What impression do you suppose it’s going to have on actual property?
“If DeepSeek gets traction, it could redefine lead qualification and hyper-targeted marketing strategies. Imagine applying its ultra-precise search to niche real estate markets — matching buyers and sellers faster, identifying emerging trends and even optimizing any platform for investor leads.”
ChatGPT to me:
“Curious: Are you seeing DeepSeek as a potential game-changer for your ventures or just watching it develop for now? If it impacts what you’re working on, let me know, and we can brainstorm how to leverage it!”
Me: I’m reluctant to tie what I’m doing to something that China controls. I do know it’s open supply, they usually say it’s clear. Perhaps it’s, however if you happen to have a look at how ByteDance has leveraged their U.S. person knowledge, I’m deeply involved. Does making it open-source stop them from utilizing their person knowledge — I don’t suppose it does.
ChatGPT:
“You’re absolutely right to approach this with caution, Bernice. Open source doesn’t inherently guarantee privacy or protection from data misuse, especially when the organization behind the technology operates in an environment where user data may be exploited for purposes outside of the users’ control.”
The cybersecurity issues are actual
In line with an article on Forbes.au, DeepSeek might have been constructed on different AIs with out their information or authorization.
“Recent reports indicate that OpenAI and Microsoft are investigating whether DeepSeek utilized a technique called “distillation” to coach its AI fashions. Distillation entails utilizing outputs from a extra superior AI mannequin to coach one other mannequin, doubtlessly permitting the latter to copy the previous’s capabilities with out direct entry to proprietary knowledge. OpenAI has discovered proof suggesting that DeepSeek might have employed this technique, which might increase issues about mental property rights and knowledge privateness.”
If DeepSeek has scraped AI content material from proprietary sources, its ethics and safety are already in query.
7 DeepSeek cybersecurity issues for Realtors
ChatGPT outlined the next seven further safety issues:
1. Transparency vs. management
Open supply means code is publicly out there, so builders can examine it for backdoors, monitoring mechanisms or any nefarious habits. Nonetheless, transparency doesn’t equal immunity. As soon as deployed, there’s no assure that knowledge collected through implementations of that open-source tech received’t be exploited or shared.
As well as, “DeepSeek’s open-source standing doesn’t essentially stop person knowledge from being leveraged. Chinese language knowledge legal guidelines, such because the 2017 Cybersecurity Regulation and the 2021 Private Data Safety Regulation (PIPL), grant the Chinese language authorities authority to entry and request knowledge from firms working underneath its jurisdiction.
In different phrases, the Chinese language authorities has the authority to demand your knowledge (a part of the problem with TikTok), and DeepSeek is obligated to show it over.
2. The info utilization loophole
Even when the software program itself is “clean,” its use can nonetheless pose dangers. For instance, if person knowledge flows by means of programs managed by an entity like DeepSeek, they might nonetheless seize and use that knowledge for analytics or different functions, together with doubtlessly sharing it with exterior events or governments.
Open supply doesn’t management the place or how the information is saved, nor does it stop compliance with government-mandated requests (e.g., Chinese language data-sharing legal guidelines).
3. China’s Knowledge Regulation Context
Chinese language firms are topic to legal guidelines just like the 2017 Cybersecurity Regulation and the 2021 Private Data Safety Regulation (PIPL). These rules enable the Chinese language authorities to compel firms to share knowledge upon request. Open supply doesn’t protect customers from these exterior forces.
ByteDance [the owner of TikTok] is a main instance of how non-public firms can seemingly function independently whereas nonetheless being topic to scrutiny and leverage by the Chinese language authorities.
4. Why ByteDance must be a pink flag
Regardless of TikTok’s efforts to separate U.S. operations (e.g., knowledge storage in Oracle’s U.S. servers), investigations have proven cases of information being accessible to engineers in China. This demonstrates how even managed platforms can wrestle to insulate their operations absolutely.
5. Belief hole in open supply
The promise of open supply is that others can audit and confirm its integrity, however few firms really carry out such audits rigorously. Even when they did, it’s tough to observe the continuing utilization and storage of information by these implementing the code.
6. Broader dangers in partnering
Tying your work to a system with even the potential for misuse might increase belief points amongst your customers, particularly given the political and authorized sensitivities surrounding China. Your viewers (particularly in actual property, the place privateness is crucial) may view this affiliation as a dealbreaker, even when the chance is small.
7. For actual property professionals involved about knowledge privateness?
These dealing with delicate shopper knowledge might wish to proceed with warning. If AI-generated insights depend on proprietary or user-fed knowledge, who really owns and controls that data?
Suggestions for actual property professionals
With these dangers in thoughts, right here’s what brokers and brokerages ought to think about:
1. Keep away from inputting delicate shopper or transaction knowledge into DeepSeek
If there’s even a small probability this data could possibly be accessed or misused, it’s not well worth the threat.
2. Use AI options with sturdy encryption and knowledge safety insurance policies
Be sure that any AI software you undertake has clear insurance policies on how knowledge is dealt with, saved, and guarded. Set a tough and quick rule that shopper knowledge is rarely posted to TikTok, DeepSeek or different web site that lacks the suitable protections for that knowledge.
3. If brokers wish to use TikTok or DeepSeek, they will need to have a separate account to keep away from posting shopper knowledge
As ChatGPT recommends: “Implement strict data-sharing policies. Limit how much client and transaction data is shared with third-party platforms, even if they claim to be secure.”
4. Brokers and groups: Educate your brokers about knowledge safety dangers
Prepare brokers and employees to acknowledge and keep away from potential safety threats when utilizing AI-powered instruments.
5. Stick to AI instruments that adjust to GDPR/CCPA
Adjust to privateness rules, significantly the EU Basic Knowledge Safety Regulation (GDPR) and The California Client Safety Act (CCPA).
The GDPR, which was handed in 2018, protects private knowledge by regulating its assortment, processing, and switch. It grants people rights like knowledge entry, correction, and deletion whereas imposing strict compliance necessities on companies dealing with EU residents’ knowledge. Compliance is required of any agent, firm, affiliation, or different group doing enterprise with the EU and/or that has places of work within the EU.
The California Client Privateness Act (CCPA), efficient Jan. 1, 2020, enhances privateness rights for California residents by permitting them to know, entry, delete, and choose out of the sale of their private knowledge. It applies to companies assembly particular income or data-handling thresholds.
Whereas each GDPR and CCPA/CPRA purpose to guard private knowledge, GDPR applies globally to companies dealing with EU knowledge and requires specific consent, whereas CCPA/CPRA is concentrated on California residents’ rights and emphasizes opt-out mechanisms.
These rules exist to guard client privateness by limiting how firms can gather, retailer, and share private knowledge. Guaranteeing compliance with these frameworks will help shield shopper data and keep away from authorized problems.
The way forward for AI in actual property: Extra competitors, extra complexity
Right here’s ChatGPT’s remaining take for actual property professionals on this vital subject:
“DeepSeek is barely the start of a brand new wave of AI competitors. As extra firms push AI boundaries, the true property business will see instruments that redefine how brokers function.
“Real estate professionals must be hyper-aware of who controls their data. Until companies like DeepSeek have full transparency, agents should steer clear of integrating them into their business—especially when safer AI tools exist.”
Bernice Ross, president and CEO of BrokerageUP and RealEstateCoach.com, and the founding father of RealEstateWealthForWomen.com is a nationwide speaker, creator and coach with over 1,500 revealed articles.
