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KPMG pulls report on AI usage due to apparent hallucinations

KPMG has withdrawn its report 'Redefining excellence in the age of agentic AI' after multiple organizations disputed its claims about their AI usage. The report, published in October 2025, contained inaccuracies that research group GPTZero identified as likely AI hallucinations. This incident follows a similar case where EY withdrew a report with fake footnotes and AI-generated content.

Background

AI hallucinations refer to instances where AI systems generate false or misleading information that is presented as factual. This incident highlights the risks of over-reliance on AI for professional research without proper human oversight.

Source
TechCrunch
Published
Jun 14, 2026 at 04:42 AM
Score
7.0 / 10