It’s an inherent negative property of the way they work. It’s a problem, but not a bug any more than the result of a car hitting a tree at high speed is a bug.
Calling it a bug indicates that it’s something unexpected that can be fixed, and as far as we know it can’t be fixed, and is expected behavior. Same as the car analogy.
The only thing we can do is raise awareness and mitigate.
This has been tried, it’s helping but it’s not enough by itself. It’s one of the mitigation steps I was thinking of. And companies do work very hard to reduce hallucinations, just look at Microsoft’s newest thing.
From that article: