Maybe it only had an intuitive find-patterns system 1 before.
As for your Large Abstraction Models thought, Look up Vernon Benjamin Mountcastle's work. Neuroscientist that proposed that the whole neocortex operates through a common principle through cortical columns. Any Large Abstraction Model might well just be a distributed epiphenomenon of the network without any single nexus. If that is how we as humans work, wouldn't be surprising if just scaling LLMs up is all we need to do to get it to do anything a human can do online. Bye bye a lot of white-collar jobs if true.
I hope your skepticism is warranted though and just scaling it up is not enough because our institutions are not ready for this kind of change.