At what point to you would it move from simulation to essentially the same configuration just in a different container?
Never.
Intelligence is substrate independent, and does not depend on consciousness or phenomenology. Phenomenology is probably substrate dependent, though. Meaning, the meatbag wrapped around our skeletal system really does matter. Phenomenology is also what makes us feel anything at all.
You can make all the intelligence you want, bootstrapping it off our neural architecture. You’re still doing us a disservice if you call it human. It’s more like a new species, with much more intelligence and virtually no phenomenological experience.
But calling it a new species is also arguable, because whether or not it would be “alive” is arguable. I’d just call it a neat toy.