No, I don't think so. Most MLM:s are arguably scams, but they still persist as corporations and do a lot of business and make a lot of money for some people.
It's the dissonance between promise and delivery that make the term appropriate in my opinion. There's nothing intelligent about AI, and you can't transfer a package to a friend through email.
And, well, yes, one might argue that capitalism is basically a scam. Instead of serfs and slaves that were traded and exploited personally, we're now being traded and exploited collectively. I think Engels said this more succinctly at some point.
In general prisons are suppliers of cheap labour, and don't allow people to actually rot in them, though some inmates aren't actually supplied as labour, for reasons. As the person you're likely alluding to shows, grudge-laden manifestos and bombs don't do much to change society. It's a better idea to get organised around mutual aid and strikes in a wide sense.