ChatGPT Uninstallation Surge to 295% in US Amid OpenAI’s Controversial Defence Deal With Pentagon; Users Migrate to Anthropic Claude

San Francisco, March 3: OpenAI is facing a massive consumer revolt as uninstalls of its ChatGPT mobile app skyrocketed following a partnership with the US Department of Defence, recently rebranded as the Department of War. The backlash has significantly impacted the company's market position, with millions of users expressing concerns over the ethical use of artificial intelligence in military operations.

According to data from market intelligence firm Sensor Tower, US-based uninstalls of the ChatGPT app jumped 295% on Saturday, February 28. This surge is nearly 33 times higher than the app’s typical daily uninstall rate of 9%. Simultaneously, new downloads fell by 13%  as news of the classified military agreement spread across social media. Anthropic CEO Dario Amodei Defies Pentagon Ultimatum Over Ethical AI Use Amid Supply Chain Risk Threats.

Anthropic’s Claude Hits Number One as Users Migrate

The controversy has proven to be a major windfall for rival firm Anthropic. After publicly refusing to enter a similar agreement due to concerns regarding mass surveillance and autonomous weaponry, Anthropic’s Claude app surged to the number one spot on the US App Store. Downloads for Claude increased by 51%  on Saturday, with some reports suggesting daily downloads surpassed ChatGPT for the first time in history.

Anthropic's stance resonated with users who prioritised digital safety and neutrality. The shift was also reflected in app store feedback, where ChatGPT saw a 775%  spike in one-star reviews over the weekend. Critics have particularly targeted the potential for AI models to be used by intelligence agencies like the NSA, despite OpenAI’s claims of built-in safeguards.

Sam Altman Admits to ‘Sloppy’ Execution of Defence Partnership

In response to the growing "Cancel ChatGPT" movement, OpenAI Chief Executive Officer Sam Altman admitted that the announcement was "opportunistic and sloppy." In a post on X, Altman acknowledged that the timing—immediately following a public rift between the Pentagon and Anthropic—looked poor and required clearer communication regarding the project's boundaries.

Altman clarified that the agreement specifically prohibits the use of OpenAI technology for domestic mass surveillance of US citizens or for powering fully autonomous lethal weapons. He stated that the company is currently amending the contract language to explicitly ban the National Security Agency (NSA) from using its services without a separate, highly regulated agreement.

Concerns Over Data Privacy and Military Ethics

The deal allows the US military to deploy OpenAI’s advanced models within its classified "cloud-only" networks. While OpenAI insists that human experts will remain "in the loop" for all high-stakes decisions, digital rights groups have warned that the lines between back-office support and battlefield automation are increasingly blurred. OpenAI Valuation Hits USD 730 Billion Following Historic USD 110 Billion Funding Round Led by Amazon and Nvidia.

As the industry moves toward a new fiscal year, the rift between profit-driven government contracts and user-centric ethics is becoming a defining challenge for AI labs. While OpenAI has secured a valuation of 730 billion USD following a recent 110 billion USD funding round, the current exodus suggests that maintaining consumer trust may be as critical as technical superiority.

(The above story first appeared on LatestLY on Mar 03, 2026 02:58 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).