The ramifications are bleak if you're destined to become an employee. Students believe that AI can do their work for them, so they shouldn't be surprised if AI gets the job they wanted.

On the other hand, these students are proving that AI is as capable as a student (in their eyes at least) which bodes very well for employers. Limitless numbers of cheap workers.

Students usually don't have adequate experience or judgement to make good employees. AI being good at satisfying a professor doesn't mean AI is good enough to satisfy an employer.

So whether it bodes well or not depends upon whether that gap exists or not. It's probably job specific.

> these students are proving that AI is as capable as a student (in their eyes at least) which bodes very well for employers. Limitless numbers of cheap workers.

Limitless numbers of cheap workers are great for employers when they have them. Not as great when everyone has them.

Who is going to pay for the goods or services provided by your limitless number of cheap artificial workers when everyone else has also replaced their natural consumer human employees with their own cheap artificial workers?

Even when AI can do the work, their value often is that they have understanding of the work and so can correct the AI. Anyone can prompt an AI to vibe code a program, but someone needs to understand the various things that make for quality so that the program can get to an acceptable level without the boss having to spend his time doing that. That is your boss wants someone who can make decisions that the AI will get wrong.