It is not the case - this is just biomimicry: "let us try imitating feats of a living organism". Perfectly legitimate. Nobody is told to make unduly images out of it.
"The name of AI": we call "intelligent" in this convention that which finds solutions - normally the natural intelligence of a professional, sometimes the artificial intelligence of a computerized system. As easy as that. It works, no intrinsic issue.
This experiment: children seem to rely on expectations in learning and this ANN based system tries to implement some form of "expectation based learning". No problem.