# How Fortune 500s Are Using Procurement to Manage Vendor AI Hallucinations

Page: https://stenobird.com/podcast/enterprise-tech-with-fexingo-fortune-500-software-procurement-and-large-account-sales-7871873/how-fortune-500s-are-using-procurement-to-manage-vendor-ai-hallucinations
Text version: https://stenobird.com/podcast/enterprise-tech-with-fexingo-fortune-500-software-procurement-and-large-account-sales-7871873/how-fortune-500s-are-using-procurement-to-manage-vendor-ai-hallucinations.md
Podcast: [Enterprise Tech with Fexingo: Fortune 500 Software, Procurement, and Large-Account Sales](https://stenobird.com/podcast/enterprise-tech-with-fexingo-fortune-500-software-procurement-and-large-account-sales-7871873)
Published: 2026-06-13T21:55:59+00:00
Episode link: https://audio.fexingo.com/business/enterprise-tech/episode-0049.mp3
Audio file: https://audio.fexingo.com/business/enterprise-tech/episode-0049.mp3
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JSON: https://stenobird.com/v1/public/podcasts/enterprise-tech-with-fexingo-fortune-500-software-procurement-and-large-account-sales-7871873/episodes/how-fortune-500s-are-using-procurement-to-manage-vendor-ai-hallucinations
Duration seconds: 467

## Resource

Enterprise software buyers face a new procurement headache: AI models that confidently generate false information. In this episode, Lucas and Luna unpack how Fortune 500s are inserting hallucination benchmarks into vendor contracts, using probabilistic SLAs, and requiring real-time citation tools. They examine a specific case—an insurance giant that rejected a leading chatbot vendor after 12% of test outputs contained fabricated claims—and discuss why traditional procurement metrics like uptime don't apply. The hosts also explore how buyers are forcing vendors to offer indemnification against hallucination-related liability and why some vendors are pushing back. A focused look at the newest clause in enterprise software agreements. #AIHallucinations #EnterpriseProcurement #Fortune500 #VendorRisk #SLAs #AIContracts #Liability #Indemnification #Chatbot #AIAuditing #BusinessAndTechnology #FexingoBusiness #BusinessPodcast #EnterpriseTech #SaaS #GenAI #AICompliance #VendorManagement Keep every episode free: buymeacoffee.com/fexingo

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