> I agree with you in concept, but it's still 100% category error to talk like this.

It's a category error heavily promoted by the makers of these LLMs and their fans. Take an existing word that implies something very advanced (thinking, soul, etc.) and apply it grandiosely to some bit of your product. Then you can confuse people into thinking your product is much more grand and important. It's thinking! It has a soul! It's got the capabilities of a person! It is a a person!