Funny, today I was just thinking of people's tendencies to dismiss AI advances with this very pattern of reasoning: take a reductive description of the system and then dismiss it as obviously insufficient for understanding or whatever the target is. The assumption is that understanding is fundamentally non-reductive, or that there is insufficient complexity contained within the reductive description. But this is a mistake.
The fallacy is that the reductive description is glossing over the source of the complexity, and hence where the capabilities of the model reside. "Generating maximum likelihood token strings" doesn't capture the complexity of the process that generates the token strings, and so an argument that is premised on this reductive description cannot prove the model deficient. For example, the best way to generate maximum likelihood human text is just to simulate a human mind. Genuine understanding is within the solution-space of the problem definition in terms of maximum likelihood strings, thus you cannot dismiss the model based on this reductive description.