A Chinese artificial intelligence company, DeepSeek, is facing a significant challenge in the United States after attempting to secure a trademark for its AI products and services. Just days after filing for the trademark, DeepSeek discovered that another entity had already registered the name "DeepSeek" with the U.S. Patent and Trademark Office (USPTO). This conflict has raised questions about the company's ability to use its brand name in the U.S. market and highlights the complexities of intellectual property disputes in the tech industry.

The dispute centers around a Delaware-based company called Delson Group Inc., which claims to have been using the DeepSeek brand since 2020. The founder of Delson Group, Willie Lu, has established a presence in the AI education sector, offering courses and training programs under the DeepSeek name. With earlier usage and an active online presence, Delson Group appears to hold a strong position in this legal battle, potentially complicating DeepSeek's expansion plans in the U.S.

Timing Is Everything: DeepSeek's Late Trademark Application

The timing of DeepSeek's trademark application proved to be a critical factor in this dispute. When the company filed its application with the USPTO, it was already too late—another firm had secured the "DeepSeek" trademark just 36 hours earlier. This narrow window highlights the importance of swift action in protecting intellectual property, especially in competitive industries like AI technology.

Delson Group Inc., based in Delaware, filed for the trademark before DeepSeek, claiming to have used the brand name since early 2020. According to their application, Delson Group operates under the leadership of Willie Lu, who describes himself as a consulting professor at Stanford and an FCC advisor. Lu’s background in wireless technology and his involvement in AI education further solidify Delson Group's claim to the DeepSeek brand. The company offers educational courses on AI super-intelligence, priced starting at $800 per ticket, which prominently features on their website. This active commercial activity provides additional evidence supporting Delson Group's earlier use of the trademark. DeepSeek, founded in 2023, now faces a significant obstacle in establishing its brand identity in the U.S. market.

Potential Consequences and Legal Implications

The trademark conflict between DeepSeek and Delson Group raises concerns about the future of DeepSeek's operations in the United States. Under U.S. law, the first user of a trademark typically holds the rights to it, unless bad faith can be proven. Given Delson Group's earlier claimed usage and existing commercial activities, DeepSeek may find itself at a disadvantage in resolving this dispute.

Intellectual property attorney Josh Gerben suggests that DeepSeek might explore a coexistence agreement if they can demonstrate operating in different areas of AI than Delson Group. However, Delson Group has several advantages, including earlier filing, claimed use since 2020, and an active website showcasing AI-related activities. Furthermore, Delson Group could potentially claim "reverse confusion," given DeepSeek's rapid rise to prominence, or even sue to prevent DeepSeek from using the brand name in the U.S. This situation underscores the challenges faced by AI companies in navigating trademark laws and protecting their brand identities. Similar issues have affected other tech firms, such as OpenAI's struggles with trademarking "GPT" and "Open AI." For DeepSeek, this trademark conflict represents a new hurdle in its international expansion efforts.