Instinct AI founder attributes data mix-up to hallucination, not breach

Shinn responded on Wednesday evening, asserting that "no user data was shared, and no user isolation boundary was violated." He explained that the agent had fabricated a proper noun and amplified the error in its reasoning. Shinn did not immediately respond to a request for comment from Business Insider outside of regular business hours.

He highlighted Instinct's privacy measures, including isolated sandboxes and short-lived local credentials, and stated that his team has been working on an "active hallucination detection system" over the past 48 hours. This system aims to predict and intercept AI errors before they occur. Shinn indicated he would share more details about this system in the coming weeks.

Instinct, an invite-only AI assistant, gained significant attention this summer, leading to its startup, Spear Street, raising $250 million at a $2.5 billion valuation. Business Insider previously reported on the assistant's capabilities, noting its intuitive help with everyday tasks.