I spent 8 years lead climbing at Mission Cliffs in SF 2-5 days a week (5.12 range was my top). They had excellent route setters there that I spent many hours just watching between climbs.

The route setters would effectively do what you're saying, while they were setting the route. They knew exactly what would work and what wouldn't. The holds/wall are really what dictate things and if you're not able to climb it... it isn't really their problem.

As far as I can tell, while this project is cool, it really has nothing to do with climbing or route setting. It is an AI project where the developer just kind of made up some task and had AI follow it.

Yes, and help setters create more interesting routes. Maybe a layout with multiple ways to solve it, but all the approximate same difficulty?