> From the point of view of the system, this is an error. It is incorrect information.

Which system?

The LLM has no _concept_ of "correct". It emits output, based on its input and internal state.

If that output happens to be correlated with reality, then it's useful. If it doesn't, and this is not a creative exercise, it's not useful.

Everything an LLM emits is equal to it. It's all confabulation - this it says that is not based on facts, because it also has no concept of fact. Value judgements you make about the output is all you.

"Confabulation" is no less anthropomorphizing than "hallucination".