The speaker discusses a company that offers an AI character feature allowing users to converse with virtual characters like Winston Churchill or SpongeBob. Despite the gimmicky nature of this, the constant reminder that chatbots are not sentient beings is deemed unnecessary. The conversation delves into the importance of users becoming accustomed to AI's limitations and understanding they are interacting with AI language models, not humans. An anecdote from a book is shared to illustrate how people can still perceive non-sentient objects as real despite knowing the truth.