I honestly think that if we weren't living under capitalism, LLMs in their current state, would simply not be used. There would simply be no real motivation to crank out massive amounts of sub-standard text, art, etc., because there are enough people that actually enjoy doing that, and without needing money for food, shelter, and what not, it wouldn't be hard to find someone to create that text, art, etc.
I think most generative AI would be seen as a gimmicky party trick, that would make people think "that's cute, but why would we want that?". This doesn't mean we wouldn't find uses for it, but we wouldn't have the current surreal shit show with LLMs at the centre.
Ironically, under that imaginary system, getting all the data to train the LLMs on would be a lot less ethically abhorrent, as it wouldn't be taking a potential meal ticket away from the people who created the training set.