I think it's not so much the technical scope that makes it "not the AI you read of as a child" but the societal impact. AI/robots/automation was supposed to usher in some kind of techno-utopia for all the good and bad that it entails. Cue the quote about AI supposedly about taking over the boring tasks so we can spend more time making art, achieving self-actualization.
The AI you read of as a child (speaking for myself, coming from a lot of 80s sci-fi stories) is not all good of course; that's where most of the plot's conflict comes from. But LLMs, for a lot of people, are more burdened with the downsides sci-fi stories warned us about with very little, if any, of the advantages.
And speaking of forests for the trees, you zoom out a bit more and see that this AI hype train is following a years-long trend of SV being exposed for its moral failings. We have repeatedly shown, as an industry, that we missed the point of the literature we so love to quote. From the concept of "meritocracy" to naming a company "Palantir". The AI hype is not an isolated incident. We love to quote Jeff Goldblum from Jurassic Park but it's all rhetoric---we don't really ask ourselves that question!