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OpenAI Faces Backlash After Pentagon AI Deal as ChatGPT Uninstalls Spike in US

By bitcoin.com
Mar 18, 2026
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OpenAI’s push into classified U.S. military networks collided with a consumer backlash and a quieter but consequential infrastructure pivot, underscoring the tightrope the artificial intelligence (AI) giant is now walking between national security ambitions and user trust.

#QuitGPT Movement Grows as OpenAI Revises DoD AI Contract Amid Consumer Fallout

The company framed the deal as lawful and tightly controlled, but critics saw something else entirely: a consumer-facing AI platform stepping deeper into military operations at a moment when public scrutiny of artificial intelligence is already running hot.

OpenAI said the agreement includes explicit guardrails, including bans on mass domestic surveillance of U.S. persons, autonomous weapons control, and high-stakes automated decision-making systems.

It also stressed technical constraints, including cloud-only deployments and retained control over safety systems, alongside compliance with U.S. legal frameworks such as the Fourth Amendment and Department of Defense rules governing human oversight of lethal force.

Still, the optics were not exactly subtle.

Screenshot from the website Quitgpt.org

According to app analytics data, U.S. ChatGPT uninstall rates jumped 295% day over day on Feb. 28, while downloads slipped 13% the next day and another 5% after that.

User sentiment took an even sharper turn in app reviews, where one-star ratings spiked 775% in a single day and continued climbing, while five-star reviews dropped by roughly half. Competitors benefited from the moment.

The updated terms explicitly prohibited intentional domestic surveillance using AI systems and added stricter requirements for any intelligence agency involvement, including separate contractual layers. The company also announced plans to coordinate with other AI developers on shared safety frameworks, positioning the changes as a tightening rather than a retreat.

While the backlash cooled somewhat after the revisions, the episode left a mark, highlighting how quickly consumer sentiment can shift when AI crosses into sensitive territory. At the same time, OpenAI was making less visible but strategically significant moves behind the scenes.

The two developments — one public and contentious, the other operational and pragmatic — are not directly linked, but together they sketch a company moving quickly on multiple fronts, sometimes faster than its messaging can keep up.

For OpenAI, the challenge now is less about whether it can build powerful systems and more about how it manages the consequences of deploying them in places where the stakes are anything but theoretical.

FAQ Why did users boycott ChatGPT in the U.S.?Users reacted to OpenAI’s agreement to deploy AI on classified military networks, raising ethical concerns about surveillance and defense use. Did ChatGPT usage decline after the controversy?Yes, uninstall rates spiked and downloads fell temporarily, while negative app reviews surged sharply. What changes did OpenAI make to its Pentagon deal?The company added explicit bans on domestic surveillance and stricter rules for intelligence agency involvement. Why is OpenAI shifting to cloud infrastructure partners?Rising costs and scale challenges are pushing the company to lease computing power instead of building massive data centers.
Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of BitKan. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. BitKan shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information. Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. Products mentioned in this article may not be available in your region.

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