This is one of those statements that can be comforting, but is only true for increasingly specific definitions of “novel”. It relies on looking at inputs (how LLMs work) vs outputs (what they actually create).

A multi-modal LLM can draw “inspiration” from numerous sources, enough to make outputs that have never been created before. They can absolutely make novel things.

I think the real question is whether they can have taste. Can they really tell good ideas from bad ones beyond obvious superficial issues?