The reason is that there was a recent controversy[0]. Many people have moved to alacritty/kitty/wezterm.
I noticed the AI feature in the latest update to iTerm2, but it wasn't turned on by default, and I didn't turn it on, so...
¯\\_(ಠ_ಠ)_/¯
The Mastodon mobs who brigaded the issue tracker were squarely in the fringe, frowned upon by pretty much everyone else...