I don't relate to everything you said, but I will absolutely agree that one of the really annoying things about the AI industry is how they've convinced so many people the tools can do anything.
I'm a graphic designer, and I've been asked by clients to use AI gen in some projects. By far the most irritating part of this is the client requests. They believed the hype and now want the most insanely specific and complicated images out of it, despite specific details being the thing AI is the fucking worst at. I have to do so much post production work to get them something close to what they want out of these slop machines.
It takes so much time that it's not even bad money, but the process is so unfun that I dread it every time.