It turns out automobile companies need way more employees than carriage companies, so the net impact on employment was positive. Then add in all the jobs around automobiles like oil, refining, fueling, repair, road construction, etc.
Do we care if companies put each other out of business via innovation? On the whole, not really. People who study economics largely consider it a positive: “creative destruction.”
The real question of LLM AI is whether it will have a net negative impact on total employment. If so, it would be the first major human technology in history to do that. In the long run I hope it does, because the human population will soon level off. If we want to keep economic growth and standards of living, we will need major advances in productivity.