Its software. Software is not conscious.
I do appreciate how AI has been taught to spell properly as in the difference between its and it's. Here, initially I thought you'd left out the apostrophe in its, but then I realized you might be saying 'the reason it is not conscious is because of -its- software - the latter not being conscious. Context and interpretation are rather critical. (I know - a truism!)
If your brain is hardware then what are your thoughts?
Is a sperm conscious? Or an egg? When they come together the eventual brain is not conscious immediately.