AI is not necessary for this, at least not compared to the coarse process of guessing energy exertion/food intake/glycemic index of the food in the near future and dosing yourself accordingly, with occasional blood sugar level tests. Further I cannot believe a medical company/standards board would ever approve such a device (with "AI" decisions).
I find it hard to believe that's a real story (although they do use a full name), in North America at least, vendors refuse to automate insulin pumps because of the risk of litigation (too much or too little insulin can cause life changing damage, even be fatal) - and that type of automation would be `if (sugarlevel increasing-over-time) administer-small-dose(fast acting) - resample`. Basically a PID controller (although not exactly since insulin can only reduce blood sugar, so you'd err on the side of caution in your delivery and have big alarms to get human attention if you detect crashing sugar levels). Given legislation around the world is starting to require AI backed processes to explain the decisions it makes, it seems more trouble than it's worth - this is people's lives.