AI

KPMG Halts AI Report Amid Concerns Over Illusory Findings

KPMG, a leading professional services firm, has retracted its report titled “Redefining excellence in the age of agentic AI” following claims from various organizations that the information regarding their AI practices was inaccurate.

The research organization GPTZero pointed out several errors in the report, released in October 2025, attributing them to AI hallucinations. Essentially, it seems that KPMG utilized AI to generate content for a report concerning AI itself.

Entities such as UBS, the UK’s National Health Service, Swiss Federal Railways, and Transport for London informed KPMG that the assertions made in the report about their AI implementations were either incorrect or misleading. In response, a spokesperson for KPMG announced that the firm has removed the report from its online presence while it conducts a thorough review.

The spokesperson emphasized, “We expect all our employees to adhere to our guidelines regarding the responsible use of AI, which includes ensuring human oversight to validate information and confirm independent sources.”

This incident follows a similar situation where EY retracted a report on loyalty rewards programs due to concerns about fabricated footnotes and AI-induced inaccuracies.

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