Imo, LLMs do have a purpose (and their ethical sourcing problems, like you mentioned).
It's just that right now, Silicon Valley sells it as the answer to every single problem out there when it clearly isn't. A hammer is good for putting nails in the wall. Silicon Valley claims you can also use it to do your toenails, gullible managers mandate its use for that purpose, and now the waiting rooms are chock-full with people with broken toes...
Also, AI can be so much more than just LLMs.