The core problem with "AI" is the same as any technology: capitalism. It's capitalism that created this imaginary grift. It's capitalism that develops and hypes useless technology. It's capitalism that ultimately uses every technology for violent control.
The problem isn't so much that it's useless to almost everybody not in on the grift.. . The bigger problem is that "AI" is very useful to people who want to commit genocide, imprisonment, surveillance, etc. sloppily, arbitrarily, and with the impunity that comes from holding an "AI" as responsible.