Google BS
For one, Google had this policy for at least a year if not two now. Also, they have this policy, because they're unable to tell AI generated content from human-authored content - so, they don't even try to bother.
That being said, Gogole also can't judge quality of content either, and they have been ranking low-quality AI-generated, machine translated content above high-quality human generated for years now. Any human looking at just the search result list could tell most AI generated content just by looking at the nonsensical domain names they're using or by the excerpt they're showing - yet Google itself is unable to do even basic filtering on these.
Unfortunately all this will (continue) lead to original, human content creators to stop generating content, and everything you will find through Google will regurgitated content re-written over and over by an AI, that will feed more and more on other BS content generated by other AIs.
AI will be the demise of Google, but not because ChatGPT will kill classic search, but because search itself (be it the classic form or that through ChatGPT) will become pointless and only serve up low-quality and unreliable content.
Now, the obvious solution would be to rank pages based on competence and such - but that would require an actual human understanding and evaluating the content, which, however, is something that's Google is terribly afraid of, because it costs actual money and would mean that they also have to invest, not only reap the benefits of content created by millions of others.