Our current AI systems are T2, and T1 during interference. They can't decide how they represent data that'd require T3 (like us) which puts them, in your terms, at the level of memory, not intelligence.
Actually it's quite intuitive: Ask StableDiffusion to draw a picture of an accident and it will hallucinate just as wildly as if you ask a human to describe an accident they've witnessed ten minutes ago. It needs active engagement with that kind of memory to sort the wheat from the chaff.