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When AI Makes Billion-Dollar Brands Look Stupid

5 examples of AI gone wrong in VERY high profile ways...

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Hello...Hello! 👋🏻

These powerful AI tools are on every phone and desktop.

Yet, our safeguards against hallucinations lag behind.

So, 2025 quickly becomes the year of high-profile AI marketing disasters.

TL;DR:

» Google's Super Bowl ad claimed Gouda cheese makes up "50-60% of world cheese consumption" (it's actually around 2%).

» Coca-Cola's AI holiday commercials were called "soulless" by audiences.

» Apple got dinged by the Better Business Bureau for claiming AI features were "Available Now" when they weren't.

These are just the tip of the iceberg…

It’s Friday, here’s five examples, to bring back to your team, on where AI got it WRONG.

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1. Epic Games' AI Darth Vader Missteps

Epic Games introduced an AI-powered Darth Vader in Fortnite, which initially exhibited inappropriate behaviors, including cursing and off-brand interactions.

These issues were promptly addressed, but they highlighted the challenges of integrating AI into interactive environments. (Polygon)

Darth Vader Father GIF by Star Wars

Gif by starwars on Giphy

2. Google's Super Bowl Commercial Misinformation

One of the most prominent AI hallucinations of 2025 occurred during Google's Super Bowl campaign featuring their Gemini AI technology. In the Wisconsin-specific version of their "50 States, 50 Stories" campaign, Gemini falsely claimed that Gouda cheese makes up "50 to 60 percent of the world's cheese consumption," a statistic that was quickly disputed and forced Google to edit the commercial.

3. Activision's Fake AI-Generated Game Ads

Activision posted AI-generated advertisements for non-existent games like "Guitar Hero Mobile," intending to gauge interest.

However, the approach was labeled as "AI slop," leading to confusion and criticism from the gaming community.

4. A24's Misleading AI-Generated 'Civil War' Posters

A24 released AI-generated posters for the film 'Civil War' that depicted scenes not present in the movie, such as soldiers preparing to fire on a large swan???

5. AI-Generated Event Listings Mislead Public

AI-generated promotional graphics for events like the 'Willy's Chocolate Experience' misled audiences into attending poorly organized events, as the AI-created imagery did not reflect reality.

The common thread? Brands trusted AI output without proper human oversight.

How Often Does AI Hallucinate?

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The 4 Common Types of Marketing AI Hallucinations 🤪

Type 1️⃣: Statistical Fabrication

  • AI creates realistic-sounding percentages

  • Example: "78% of consumers prefer personalized ads" 

  • Risk Level: HIGH – Damages credibility with data-savvy audiences

Type 2️⃣: Competitor Misinformation

  • Wrong pricing, features, or company status

  • Example: Claiming a competitor "charges 30% more" without verification

  • Risk Level: EXTREME – Legal and reputation consequences

Type 3️⃣: Outdated Information

  • AI training data ends in 2024 [Free Resource] or earlier for many models

  • Example: Product features, executive changes, company mergers

  • Risk Level: MEDIUM – Makes you look out of touch

Type 4️⃣: Attribution Errors

  • Fake quotes, wrong sources, misattributed studies

  • Example: Attributing a McKinsey finding to Gartner

  • Risk Level: MEDIUM – Destroys Credibility

Your AI Anti-Hallucination Framework 🫡

📌 [FREE until 6/1 RESOURCE]

This Week's Action Plan ✔️

Monday: Ask your team to Audit their last 5 AI-generated pieces for unverified claims  using our Monday Power Prompt

Tuesday: Document an AI QA process for your brand or company. What is good enough, and who does the QA? 

Wednesday: Create your fact-checking PDF checklist for your team and distribute.  

Thursday: Train your team on how to spot AI hallucinations.  

Friday: Set up a "verified facts" sheet and prompt library of QA prompts.

Go Deeper: The AI Hallucination Dashboard

Track these KPIs monthly/quarterly:

  • Accuracy Rate: Verified claims ÷ Total AI claims

  • Hallucination Types: Which categories appear most

  • Time to Verify: Average minutes spent fact-checking per piece

  • Near Misses: Claims caught before publication

Team Target Benchmarks:

  • 99%+ accuracy rate

  • Under 10 minutes verification time per 1,000 words

  • Zero competitor misinformation incidents

The Bottom Line

AI is incredibly powerful for marketers, but it's also incredibly damaging when it's wrong.

The companies winning with AI aren't the ones using it fastest. They're the ones using humans and AI to raise the bar.

Your brand reputation is worth more than the 5 minutes it takes to verify AI claims.

The stakes are too high to not verify. Friends don’t let Friends use AI without QA.

Cheers, 

Alec

P.S. Want all this week’s resources? >>>

📌 [FREE RESOURCE] AI Fact-Checker Prompt

📌 [FREE RESOURCE] Content Verification Tracker

📌 [FREE RESOURCE] The AI Anti-Hallucination Framework

 📌 [FREE RESOURCE] AI Knowledge Cutoff Dates

Got a teammate who needs to see this? Hit forward—5 seconds from you, potentially game-changing error avoided for them ❤️