LLMs as a technology are incredibly powerful tools that have so many useful applications. The issue is trying to turn them into this all powerful omnitool that could do everything, and then shoving that product up everyone's ass at every turn.
There was always bound to be a correction to this bubble, because the current model is unsustainable. You can only keep making unreasonable moves for so long before everything starts to crumble and you're forced to scale back.