Just read a great paper on LLMs. I strongly suggest reading it, but here's the conclusion:

Investors, policymakers, and members of the general public make decisions on how to treat these machines and how to react to them based not on a deep technical understanding of how they work, but on the often metaphorical way in which their abilities and function are communicated. Calling their mistakes ‘hallucinations’ isn’t harmless: it lends itself to the confusion that the machines are in some way misperceiving but are nonetheless trying to convey something that they believe or have perceived. This, as we’ve argued, is the wrong metaphor. The machines are not trying to communicate something they believe or perceive. Their inaccuracy is not due to misperception or hallucination. As we have pointed out, they are not trying to convey information at all. They are bullshitting.

Calling chatbot inaccuracies ‘hallucinations’ feeds in to overblown hype about their abilities among technology cheerleaders, and could lead to unnecessary consternation among the general public. It also suggests solutions to the inaccuracy problem which might not work, and could lead to misguided efforts at AI alignment amongst specialists. It can also lead to the wrong attitude towards the machine when it gets things right: the inaccuracies show that it is bullshitting, even when it’s right. Calling these inaccuracies ‘bullshit’ rather than ‘hallucinations’ isn’t just more accurate (as we’ve argued); it’s good science and technology communication in an area that sorely needs it.

ChatGPT is bullshit | Ethics and Information Technology

Recently, there has been considerable interest in large language models: machine learning systems which produce human-like text and dialogue. Applications of these systems have been plagued by persistent inaccuracies in their output; these are often called “AI hallucinations”. We argue that these falsehoods, and the overall activity of large language models, is better understood as bullshit in the sense explored by Frankfurt (On Bullshit, Princeton, 2005): the models are in an important way indifferent to the truth of their outputs. We distinguish two ways in which the models can be said to be bullshitters, and argue that they clearly meet at least one of these definitions. We further argue that describing AI misrepresentations as bullshit is both a more useful and more accurate way of predicting and discussing the behaviour of these systems.

link.springer.com