That definitively is a negative side effect.

Though imagine you have a chat bot that is very convincing, it doesn't always say the truth but you can control what it will say.

What do you think is best use case for this, and does it have something to do with Western countries changing public opinion toward authoritarianism?

This is a very powerful tool to manipulate public opinion, imagine having a tool and a social network that can manipulate public opinion to get politicians that you back to win, to get laws passed. How valuable such tool is.

Have you wondered why they wanted to put 10 year moratorium on states being able to regulate it?