It doesn't sound like snake oil. It does seem like you are actually building AI solutions, and guess what, you said it yourself:

"this is totally fine by me, because it's really interesting and fun"

The founder needs to do what he has to fund the dream while it is still amorphous. Once you've done enough consulting, hopefully you will be able to re-use some of what you've done over time, and start focusing on a single problem area and building that 'engine' - that is, if you stick around long enough for it to be realized (and dont run out of money first)