AI-powered coding assistants have changed the way developers write software. They help automate repetitive tasks, catch errors early, and speed up development. But not all AI coding tools are built with security in mind.
One of the most promising free AI coding assistants is DeepSeek. It’s been hailed as a game changer and has a reasoning model on par with or even better than OpenAI o1. It offers advanced code suggestions and supports multiple programming languages.
But here’s the problem—do you know what happens to your code after you enter it? Many free AI models operate as black boxes, with little transparency about how they handle user data. This raises serious concerns about code privacy, intellectual property security, and compliance with industry regulations.
For developers working on proprietary software or handling sensitive data, these risks aren’t just theoretical—they can lead to source code leaks, compliance violations, or even unauthorized AI training on your data.
That’s why third-party AI coding assistants are becoming the preferred choice. Unlike free tools, these alternatives offer better data protection, stronger security measures, and compliance-friendly environments without sacrificing performance.
In this article, we’ll break down how free AI coding assistants like DeepSeek pose security risks and why third-party alternatives provide a safer, more reliable solution for developers at all levels. I’ll also share with you my personal choices and discuss their features and strengths.
Benefits of DeepSeek
AI coding assistants have improved a lot recently, and DeepSeek-R1 is one of the most advanced free tools available. It goes beyond simple autocomplete, offering intelligent code suggestions, multi-language support, and AI-powered debugging—all for free.
Its model leverages technologies like Retrieval-Augmented Generation (RAG) to achieve context-awareness and it uses reinforcement learning to approach tasks with reasoning rather than simply predicting the most likely outcome and shows the user it’s chain of thought and process by which it came to a conclusion or carried out the task given to it.
What Makes DeepSeek Stand Out?
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DeepSeek understands context and intent, generating full functions instead of just completing words or lines. It also incorporates reinforcement learning to give better and more accurate responses, much like human reasoning. This makes the code it outputs more accurate.
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Deepseek has ‘chain of thought” capabilities and it shows users it’s reasoning process while completing tasks or user inputs.
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DeepSeek has support for multiple languages, and works seamlessly across Python, JavaScript, Go, Rust, and more.
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DeepSeek is also very fast, giving you near-instant recommendations and helping you write code faster without breaking your flow.
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DeepSeek is also a helpful debugger, as it not only suggests code but can also identify errors and recommend fixes. It can achieve this because the model is context-aware.
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Finally, it’s free. Unlike some AI tools locked behind paywalls, DeepSeek provides all these features at no cost.
With these capabilities, it’s no surprise that DeepSeek is gaining traction among developers looking for a free AI-powered coding assistant reported as the Most downloaded app within Apple’s Top Free App category. But does free always mean safe?
The Security Risks of Free AI Models Like DeepSeek
For all its benefits, DeepSeek—like most free AI coding assistants—comes with security risks that can’t be ignored.
First of all, do you know what happens to your code when you input it? DeepSeek doesn’t clearly disclose whether it stores or analyzes user input, raising concerns about data privacy and proprietary code exposure.
During a call with members of her subscription training, Heather Murray, an AI consultant for major corporations and the U.K. government who serves on the ISO committee for AI security, expressed concerns about DeepSeek’s policies regarding user data:
“It keeps your data as long as it wants to, and even after users leave the app, it doesn’t delete their data. It’s going to hang on to that. That is a massive worry. All of that data is then transmitted and stored on servers in China. So that removes user data from under U.S., U.K. or European law — moving it under Chinese law, which is very, very different.”
There are also potential intellectual property risks to think about. If DeepSeek retains input data, could fragments of your code appear in suggestions to other users? This is a real risk with AI models trained on user data. This means that any proprietary code you submit could become a suggestion for competitors using the same platform.
DeepSeek also hasn’t implemented any enterprise security standards. Unlike paid enterprise-grade AI solutions, DeepSeek does not provide guarantees of compliance with security frameworks like GDPR, SOC 2, or HIPAA.
Finally, there’s no guaranteed data isolation. Enterprise AI solutions often provide private model deployments or air-gapped environments, while free AI tools rely on centralized cloud processing, increasing exposure risks. This means your code is sent to external servers, increasing the risk of leaks or unauthorized access.
These risks don’t mean DeepSeek isn’t useful—but they do mean developers working on proprietary projects, enterprise applications, or sensitive data should think twice before relying on it alone.
Secure Alternatives to Free AI Coding Assistants
If you rely on free AI coding assistants, you’ll need to balance performance, usability, and security. While free models like DeepSeek offer powerful code suggestions, they lack key security features required for professional and enterprise use.
Third-party AI tools provide a safer alternative, ensuring data privacy, enterprise compliance, and secure code processing.
So you might wonder: how do these third party apps achieve this higher level of security? Well, they do it by hosting the service on their local/personal servers which are under US and EU regulations and data protection laws. This is unlike the free DeepSeek API, which may route queries through shared infrastructure, which comes with unspecified backdoor access.
Here are two confirmed DeepSeek-powered AI assistants that address the security limitations of free models:
1. QodoGen
QodoGen has a secure DeepSeek-powered AI assistant. It’s built for security-conscious developers and enterprises who want the advantages of DeepSeek without exposing sensitive code.
Some of its features are:
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Built-in security: Unlike the free DeepSeek model, QodoGen does not store, log, or use code for training.
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Enterprise-grade protection: It’s designed to meet data privacy regulations like GDPR, SOC 2, and HIPAA.
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Seamless IDE integration: QodoGen provides the same intuitive, real-time assistance as DeepSeek but with enhanced security controls. It’s available on your favorite IDEs like VSCode and JetBrains IDE.
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Optional Data Sharing: Allows organizations and developers to fine-tune security settings and host the model on-premises or in a private cloud. It also provides users with the choice to Opt Out of data sharing with it’s servers all together( Go to the extension’s settings and check the box
Opt out of sharing my data with Qodo.) -
Custom AI model options: It also has other AI models you can choose from to suit your personal or organization’s needs like OpenAI o1, GPT-4, Claude Sonnet 3.5, Gemini 2.0 flash and so on.
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Guaranteed data isolation: QodoGen provides private model deployments / air-gapped environments which prevent unauthorized data collection.
Example of Deepseek-R1 showing chain of thought on QodoGen
How to get QodoGen
To get QodoGen set up, visit its page on Visual Studio Marketplace to install it.
Alternatively, follow these steps to install the plugin from within VSCode:
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In VSCode, open the Extensions menu. You can do this by either:
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Type Qodo Gen in the search bar.
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Click the Install button.
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Sign Up with your email.
To login to the Teams plan, after you have received an invitation, login using the email to which the invitation was sent. Team plans start at $15/month, while Enterprise solutions start at $45/month.
QodoGen also has a free plan for individual developers. You can check out their pricing here.
2. Perplexity AI
Perplexity AI integrates DeepSeek-R1 while implementing security safeguards to minimize data risks. It originally served as a search engine for researchers, so it comes with cited sources for the output it generates. This means you can check, confirm, and further research any output it generates.
Some of its key features are:
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Data hosting security: User queries are processed in US/EU data centers, reducing risks associated with external data exposure.
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Privacy-focused AI responses: Unlike free DeepSeek, Perplexity AI’s infrastructure prevents unauthorized data collection.
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Available via web platform: Developers can access AI-assisted coding with DeepSeek’s capabilities without having to download the any application.
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Gives you sources along with the output it generates, so you can be rest assured that the output is accurate (which you can confirm for yourself).
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It has a free plan for individual developers, as well as a Teams subscription (starting at $20/month) and Enterprise subscription (with customizable plans). You can check out their pricing here.
Example of Deepseek-R1 showing chain of thought on Perplexcity AI
The above screenshot shows how it produced the output step by step. You can also see the option to read further with the dropdown buttons with sources for confirmation and resources for further study.
How to Choose the Right AI Coding Assistant
With the growing number of AI coding assistants available, selecting the right one comes down to security, data privacy, and usability. Whether you’re an individual developer or part of an enterprise team, your AI assistant should offer:
Both QodoGen and Perplexity AI have demonstrated a commitment to these principles. By integrating DeepSeek-R1, they provide cutting-edge AI assistance while maintaining security and ease of access for developers.
My Recommendation: QodoGen for Developers, Perplexity for Quick Access
For developers, teams, and enterprises, QodoGen is the best choice. It’s designed specifically for developers, integrating directly into popular IDEs like VS Code and JetBrains IDE. This ensures a smooth, secure, and efficient coding experience without data privacy concerns.
QodoGen delivers the power of DeepSeek-R1 and other top AI models while keeping your code protected within your development environment.
For individuals looking for an easy, web-based solution without installing an extension, Perplexity AI offers a good alternative. Without the need for installations, it provides AI-assisted coding in a browser, making it an accessible option if you prefer quick and hassle-free access to DeepSeek-R1 and don’t need deep IDE integration.
Conclusion
AI coding assistants have become essential tools for developers, but not all solutions prioritize security and data privacy. While free models like DeepSeek offer impressive capabilities, they come with potential risks that developers and enterprises cannot afford to overlook.
Third-party AI coding assistants provide a secure and reliable alternative, ensuring that code remains private while still delivering state-of-the-art AI performance. Among them, QodoGen and Perplexity AI stand out by integrating DeepSeek-R1 into their platforms before others while maintaining a strong commitment to security and accessibility.
For developers, teams, and enterprises, QodoGen is the ideal choice, offering a seamless IDE experience with enterprise-grade security. Meanwhile, if you prefer quick, web-based access, Perplexity AI provides a hassle-free way to leverage DeepSeek-R1 without installation.