Yeah, I definitely see where you're coming from, and I agree that AI can be a useful tool for solo devs and small teams, I think we just view game jams a little differently. Personally, one of the main reasons I participate in jams is to improve my own skills, especially programming and game design, so I don't really see making the entire game with AI as accomplishing that goal for me. That's just my personal reason for avoiding it though, and I don't mean to tell other people how they should participate.
Regardless, your game is genuinely really fun, and honestly one of the best I've played in the jam. I wish you the best with your next projects!