Usually the reason we want people to stop calling LLMs AI is because there has been a giant marketing machine constructed designed to (and successfully) tricking laymen into believing that LLMs are adjacent to and one tiny breakthrough away from becoming AGI.

From another angle, your statement that AI is not a specific term is correct. Why, then, should we keep using it in common parlance when it just serves to confuse laymen? Let’s just use the more specific terms.