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That explanation makes no fucking sense and makes them look like they know fuck all about AI training.
The output keywords have nothing to do with the training data. If the model in use has fuck all BME training data, it will struggle to draw a BME regardless of what key words are used.
And any AI person training their algorithms on AI generated data is liable to get fired. That is a big no-no. Not only does it not provide any new information from the data, it also amplifies the mistakes made by the AI.
though this isn't pertinent to the post in question, training AI (and by AI I presume you mean neural networks, since there's a fairly important distinction) on AI-generated data is absolutely a part of machine learning.
some of the most famous neural networks out there are trained on data that they've generated themselves -> e.g., AlphaGo Zero