It's also a very lame definition. Intelligence - and humans - are more than just labor.
(You'll forgive me for conflating humanity and intelligence - we are homo spaiens, after all. Thinking man.)
I'm not _confused_ why these "AI" "Labs" are using that definition though. It's extremely clear they're trying to eliminate the need for the non-owner class. They're not selling LLMs (some companies are, but not these companies). These companies are selling the idea of labor without laborers to people who hate and fear laborers - and their utter dependence on them - more than anything else in their lives.
Really looking forward to the scam collapsing. Crypto wasn't very satisfying to me because too many of the victims were just idiots. This time, it's class warfare.