Does that mean it's intelligent?

To me it just means they can brilliantly fake human conversation - the original design goal of Large Language Models.

It's really easy to tell if you're talking to an LLM if you ask a question that requires actually knowing things, not going for the first search result of a tool call or whatever most popular answer was embedded in the weights.

For this reason even the most sophisticated models still require system prompts, skills and all that other crap.

Most people are already at the anger phase, not at denial anymore. Get on with the times.

Why does this matter?