I find the term "hallucination" very misleading. What LLMs produce means really "lie" or "misinformation". The term "hallucination" is so common nowadays only because corporations developing LLMs prefer using it rather than saying the truth, that their models are just huge machines for making things up. I am still wondering, why there are no legal consequences for authors of these LLMs because of that.
> Unfortunately, the term hallucination quickly stuck to this phenomenon — before any psychologist could object.