Skip to content

Blog

Practical notes on AI that has to earn its keep.

Field notes from Skillion AI Labs on practical AI, operating leverage, and venture building.

Follow via RSS
RSS Feed
Tuesday, June 30, 2026 / 5 min read

Why Retrieval Augmented Generation (RAG) Still Hallucinates—And How to Prevent It

Retrieval Augmented Generation (RAG) dramatically improves AI accuracy by grounding responses in your business data—but it doesn't completely eliminate AI hallucinations. Learn why RAG systems still make mistakes and how SMBs can implement guardrails that deliver reliable business outcomes.