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Index/Sales/Enterprise Tech with Fexingo
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Fortune 500s Negotiate Vendor AI Response Hallucination Guarantees

Enterprise Tech with Fexingo · 2026-07-20 · 11 min

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Topics in this episode

AI hallucinationFortune 500 procuremententerprise software contractvendor guaranteematerial hallucination rate

Episode notes

Episode 122 of Enterprise Tech with Fexingo digs into a new frontier in enterprise software contracting: vendor guarantees against AI hallucination risks. Lucas and Luna examine how Fortune 500 procurement teams are inserting clauses that require vendors like Microsoft and Salesforce to fix AI-generated errors, offer service credits for hallucination-related outages, and submit to independent testing. The conversation centers on a specific term gaining traction - the 'material hallucination rate' threshold - and contrasts early adopters like a major financial services firm with skeptics who argue the contracts are unenforceable. Along the way, the hosts pull back the curtain on how listener support via buy me a coffee dot com slash fexingo funds the show's ad-free model. A focused look at one concrete clause that could reshape enterprise AI liability. #FexingoBusiness #BusinessPodcast #EnterpriseTech #Fortune500 #SoftwareProcurement #AIHallucination #VendorContracts #Liability #ServiceCredits #Microsoft #Salesforce #LegalTech #AIgovernance #Procurement #EnterpriseAI #ContractNegotiation #BusinessAndTechnology #RiskManagement Keep every episode free: buymeacoffee.com/fexingo

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