On one hand, you have people claiming "AI" can now do SWE tasks which take humans 30 minutes or 2 hours and the time doubles every X months so by Y year, SW development will be completely automated.
On the other hand, you have people saying exactly what you are saying. Usually that LLMs have issues even with small tasks and that repeated/prolonged use generates tech debt even if they succeed on the small tasks.
These 2 views clearly can't both be true at the same time. My experience is the second category so I'd like to chalk up the first as marketing hype but it's confusing how many people who have seemingly nothing to gain from the hype contribute to it.
This is called "paraconsistent logic":