Then why companies aren't offering minimum-wage SWE-1 jobs already? Could it be that the output of an AI tool still needs a modicum of skill and craft to evaluate?
Well not exactly. An internship is a temporary position, which people mostly just take to improve a CV at an early career stage, or as a fallback after being laid off. A "minimum wage job" is... A job.
Hell I had an internship in 1995 and they paid $10 an hour then and provided housing.
For context, my take home was $650 every two weeks - my total quarterly tuition at school and the next year the cost to rent a one bedroom in the northern burbs of Atlanta.