Cursor AI's Support Bot Hallucinates Non-Existent Policy

Cursor AI's AI support bot mistakenly informed users of a non-existent policy prohibiting logins from multiple devices. This caused user frustration, leading Cursor co-founder Michael Truell to apologize on Reddit. He admitted the response was a hallucination from their AI support bot. The issue stemmed from a recent update aimed at improving session security, causing some users' sessions to be invalidated. The problem is now fixed, and all AI-generated support replies are clearly labeled. This incident highlights the risk of AI model hallucinations and the importance of thorough testing when using AI for customer support.