Brad Allenby considers how effective regulation of AI will critically depend on avoiding conflation of very different levels of functionality.
"AI is not the same as previous foundational technology systems". Hmm... I'm reminded of Paul Simon's "every generation throws a hero up the pop charts". You could apply the same three levels you describe to the Internet, with its foundational protocols and overlaid distributed applications. In fact any AI is entirely reliant on these deeper foundations for cobbling together sensible-sounding or looking outputs, ones which resonate with humans and their own distorted views of the world. Without being prompted and trained on these, AIs can't and won't do anything much at all.