I don't think their use of it is bad at all, I'm just tired.
Putting "AI" into the feature title means "this time it actually works"
My opinion is that, for end users, if you name your feature "AI" to market it, you kind of already failed to read the room. You're writing to VCs while hoping it convinces customers.
Name what the feature does, what it gains them. Call it "smart" if you must imply some black box treatment.
Naming AI as the selling point for everything feels a lot like that Android tablet ad circa 2010:
"Your wife will love the new dual core Tegra™ chipset!"
I'd also get tired if it was "AI ala Microsoft/Google" where the goal is to get you to write forever with a chat bot somewhere else, but these features are very different from that.