An artificial intelligence blunder has caused significant disruption and reputational damage in the Australian tourism sector, after a fabricated article lured unsuspecting travellers to a remote Tasmanian town in search of non-existent hot springs.
The Fabricated Attraction That Fooled Tourists
The incident centred on a now-deleted blog post published on the Tasmania Tours website last July. The AI-generated article falsely advertised "Weldborough Hot Springs" in a remote area of Tasmania, describing the fictional attraction as a "peaceful escape" enriched with "therapeutic minerals." The post was accompanied by convincing AI-generated images that depicted serene thermal pools, creating a compelling but entirely false narrative.
Tourists Arrive "In Droves" to Discover Deception
According to local accommodation providers, misled tourists travelled to Weldborough "in droves" throughout late 2025 and early 2026, only to discover that no such hot springs existed. The remote town, unprepared for the influx of visitors seeking a non-existent attraction, faced confusion and disappointment among travellers who had made significant journeys based on the fraudulent information.
Scott Hennessy, owner of Australian Tours and Cruises which operates the Tasmania Tours website, admitted their AI system "messed up completely" in creating the false content. The company attributed the error to a third-party contractor responsible for managing their AI content generation systems.
AI "Hallucination" Causes Reputational Fallout
The tourism operator confirmed that the incident resulted from what they described as an AI "hallucination" – where artificial intelligence systems produce fabricated information presented as fact. This particular hallucination created detailed but entirely imaginary tourist attractions complete with descriptive text and visual representations.
The company acknowledged the episode has caused significant reputational damage and triggered substantial online backlash from both disappointed travellers and industry observers. The incident highlights growing concerns about the reliability of AI-generated content in sectors where accuracy is paramount, particularly in tourism where travel decisions involve considerable time and financial investment.
Broader Implications for AI in Tourism Marketing
This case emerges alongside other controversial tourism marketing initiatives, including Australia's recent "Go Down South With Your Mouth" campaign that has drawn mixed reactions. The Tasmanian hot springs incident raises serious questions about:
- The verification processes needed for AI-generated tourism content
- Accountability when automated systems produce false information
- The potential for reputational damage to destinations misrepresented by AI
- The need for clearer labelling of AI-generated travel information
Industry experts suggest this incident may prompt stricter guidelines for AI use in tourism marketing, particularly regarding fact-checking mechanisms and human oversight requirements for automated content generation systems.
