I almost voted this a duplicate of Does the simulation hypothesis bring back certain ideas long rejected by skeptics and typically associated with religious believes? but it's a different question, even though there's some significant overlap. To quote my own response to the earlier question:
One of the oldest and most foundational debates in philosophy is what
has more primacy, the physical/material or the mental/spiritual.
Idealists like Plato, Berkeley or Descartes, who believe the physical
is secondary to the mental, or built on top of it, contrast with
Empiricists like Hume, who see the physical as primary, and the mental
as somehow inhering in it.
For a long time, the materialist viewpoint has been in the ascendancy.
The last significant challenger was the spiritualist movement of the
1800s. Since then, scientific empiricism has become the dominant
outlook of the intellectual world.
Even before AI was developed, there was a philosophical tradition most closely associated with computing pioneer Alan Turing, that envisioned AI as a way of demonstrating the material basis of consciousness. The idea is that if we can build a mechanical mind from material pieces, and if it can convincingly display all the empirical footprints of consciousness, then it's very likely that our own minds and consciousness are likewise material at their root. So in that sense, the advance of AI represents a victory for this point of view.
However, it's not as unambiguous as it seems. In his book Incognito, David Eagleman discusses the "radio hypothesis." A radio is a physical object that we can build. If it degrades, the music it produces degrades. If it breaks, the music stops. But the music does not inhere in the radio. It is broadcast from a source, the radio is merely a receiver. Similarly, a brain OR an AI might be a receiver of consciousness, rather than the source. That's just an analogy of course, it doesn't prove anything, but it does raise doubts as to the decisiveness of the Turing thought experiment's proof.
Also complicating the situation is that modern AI is not built step-by-step in knowable ways. Instead, the AI is a simulated brain, that is trained with very large datasets. The specifics of how it works are a black-box that is too complex to be fully comprehended. So, just as with a real brain, we don't know how the magic happens or why. There's a philosophy called "emergentism" that holds that consciousness is a property that emerges from a physical ground, but cannot be reduced to it.
Finally, as discussed in the linked question, there's some renewed interest in philosophical circles in the idea that the apparent material nature of the world at large might be illusionary. If physical matter itself is not truly material, then neither is anything built on top of it, including AI.