A real intelligence would be able to either put together the information needed and fill in gaps with research or it would be able to tell you that it does not know.
"Hallucination" is yet another anthropomorphism of the model. A mind hallucinates; a model just produces incorrect results.
LLMs are very cool but I'm really sick of the "intelligence" branding. If a person who didn't know about something just confidently made shit up, I wouldn't call them intelligent.
And I agree with you, I know people who make shit up about something they don't know about, and it goes "actual humans > LLMs > these people".
Well, now it does I'm affraid :-)
I know we have had this conversation with our daughter several times and we have three languages to work with...
Where all the "cloud" is, is an server in a datacentre with a fancy gui.
I guess we've needed a new buzz world to keep the population excited.
It seems to be a good recipe for success in many fields (business, politics, art, apparently somewhat in social sciences if you make up the evidence for it too) so I'm not too sure about that!
Then you have a highly flawed understanding of humanity... to the point you should check out of tech for awhile and go read about psychology instead.
Extremely intelligent people confidently make shit up when they don't know the answer all the time.