This is all exactly correct in my view. LLM AI's are a powerful parlor trick. They are not anything like an intelligence in the biological sense of that term and they are never going to be.

The primary difference that makes a difference (Bateson) between an LLM and any and every form of biological / natural intelligence is that biologiclal entities are selves and LLM's are not selves. In fact, the defining characterstic of a biological system is that it is organized to produce a self (autopoiesis). That is the line that demarcates the realm of the living from the realm of the non-living (note well: it's not self-reproduction which is an oxymoron, it's self-production).

Biological entities have agency and intentionality that is the result of their self-producing organization. Effectively, because they can die, they have desire. And desire drives all intention.

LLM's have nothing like that at all. No self, no death, no desire, no intentionality. It's a categorical absurdity to refer to the processing of an LLM model with a pronoun ("you") and it's an act of intellectual vandalism that AI developers have programmed LLM chat systems to produce speech that refers to a 100% non-existant "I".