If it is just a tool, it isn't AI. ML algorithms are tools that are ultimately as good or bad as the person using them and how they are used.

AI wouldn't fall into that bucket, it wouldn't be driven entirely by the human at the wheel.

I'm not sold yet whether LLMs are AI, my gut says no and I haven't been convinced yet. We can't lose the distinction between ML and AI though, its extremely important when it comes to risk considerations.