edit: several rephrases of the middle sentence
The only two AI interfaces I see are the "Engage Artificial Intelligence" menu item where you ask it how to form a command, and then a second interface in the Toolbelt called Codecierge where it tries to complete a task you tell it to do.
Both of which are completely optional and require an OpenAI key. If you do use them you're sending your request to OpenAI but as far as I can tell it doesn't get any of your command history or anything like that.
It's a threat. Disrespectful to users.
Maybe it does, maybe it doesn't! If it doesn't maybe it will someday! When just the right person gets hired into exec.
Let's not blame iTerm2, which is a highly useful, amazing piece of software that many of us have relied on on every day for years and have never paid anything to use.
If you really are so worried about the AI feature being part of iTerm2 then go fork it and strip the AI functionality yourself: https://github.com/gnachman/iTerm2