1. You can use UNC paths to access remote servers via SMB
2. Even if it's local, it's still more useful than you make it out to be. For instance, suppose you downloaded a .zip file of some github project. The .zip file contains virus.exe buried in some subfolder, and there's a README.md at the root. You open the README.md and see a link (eg. "this project requires [some-other-project](subfolder\virus.exe)". You click on that and virus.exe gets executed.
Relevant article from The Old New Thing: https://devblogs.microsoft.com/oldnewthing/20060509-30/?p=31...
Programs (this is true for most mainstream operating systems) can become network facing without realizing it. I've sometimes found a bunch of Windows programs sometimes tends to assume that I/O completes "instantly" (even if async I/O has been common on Windows for a very long time) and don't have a good UX for cancelling long running I/O operations
[Free AI credits](C:\windows\system32\logoff.exe)
It works. This is a real exploit that you could do things with.