Your assumption is that LLMs will ever leave this uncanny valley.
Maybe unforeseen breakthroughs and different architectures are achieved. Given LLM fundamental shortcomings grounded in mathematics and information theory, I highly doubt they will and we will always need to deal with these issues in some capacity.
I think that bigger context windows help, but I feel that for AI to cross this chasm, it needs to be able to encode more abstract context knowledge. I think the holy grail here is online learning.