Take home assignments are poor indicators of someone's actual software engineering ability. Unless you think of software engineers as some nameless, faceless, machines that you feed requirements into and get code out of.
ChatGPT just highlights how poor of a job takehome assignments do at evaluating software engineering talent because it literally is a nameless, faceless, machine that you feed requirements into and get code out of.
In a live interview with a competent interviewer they're watching to see your thought process, how well you articulate your thought process, how you problem solve, etc. Very little of the interview or their feedback about it should be focused on the syntax of your code.
In addition to being disrespectful of a candidate's time, takehome interviews lose all those important signals.