California Legislation and AI Company Address Data Privacy Concerns from Foreign Tech Platforms

American lawmakers, non-profits and consumer advocates are raising the alarm about China’s access to the personal data of tens of millions of Americans who use apps from TikTok to DeepSeek AI. This concern prompted Congress to vote for forcing a sale of TikTok last year and has led Republican Assembly member Carl DeMaio to propose legislation to protect consumers’ data and privacy from foreign actors. The California politician received assistance from Brand Engagement Network (BEN) in crafting the proposed rule, which would require technology platforms to disclose if they maintain personal information outside the US, obtain explicit user consent, and prohibit businesses from storing healthcare information, financial data, or geolocation data with foreign governments or third parties they control.

DeMaio emphasized the threat posed by China, stating in an interview that mining personal information could be a primary motivation for Chinese companies offering products in the U.S. The legislation coincides with the U.S. government considering banning the China-based DeepSeek AI chatbot on government devices due to national security and privacy concerns, particularly regarding DeepSeek’s practice of storing U.S. data on servers in China. Unlike many AI platforms that train on public or unknown data sources, BEN operates within a closed-loop system, ensuring sensitive information remains protected and off the public internet.

BEN’s security-first AI model allows businesses to maintain full control over their data while safeguarding privacy. The company uses much smaller data parameters than larger models like ChatGPT, enabling scalable and tailored AI solutions for specific use cases. BEN trains exclusively on client-provided data, employs mixed technology for precise math, and adheres to clients’ internal data management and privacy protocols, maintaining compliance with HIPAA and SOC 2 standards. CEO Paul Chang highlighted the company’s commitment to developing safe and secure technology that allows users to benefit from AI without risking data leakage.

An example of BEN’s approach is its partnership with Valio Technologies Pty Ltd., focusing on developing healthcare AI assistants for mental health support at universities in South Africa. Despite accessing over 315,000 students, BEN ensures data remains secure within a closed-loop platform, preventing leakage into the internet or use as training material for other AI systems. Chief Information & Data Officer Rick Howard explained that user data and inputs are kept within the supported business environment, ensuring full control and compliance with data privacy rules.

BEN’s AI platform is designed for efficiency, operating on a smaller computational footprint than traditional large-scale models. While many AI systems require energy-intensive graphics processing units (GPUs) and new data centers, BEN’s technology runs on central processing units (CPUs), making it more accessible, affordable, and scalable for enterprises. This approach, combined with its closed-loop system and commitment to security, positions BEN as a trusted name in AI technology, offering businesses a proven method to safeguard user information while leveraging advanced AI capabilities amid growing data privacy concerns.