Really? No! That's Llms, For those I agree. Ai has been around for decades,technically the goombas in the original super Mario bros on the ones were Ai. They had a set of inputs and based off those inputs changed their next action. Look at video games from the 90s, often it was "player vs Ai" and yes they were marked and called Ai in alot of cases.
This is what I meant by the last paragraph. Llm should never be acceptable for flight control. As you correctly stated it is not deterministic but that's not all "Ai". If the faa comes out and said they are using Claude code to handle this they should be fired and project wiped. Tracking locations of objects and detecting if a collision will happen between 2 objects has been effectively solved for decades so this could be a good use case. We don't know what they are using Ai for or what kind of Ai it is.