> Code is bytes of text on disk

Not at all, code is the implementation of an idea. The support/encoding is irrelevant. A human creation is protected by copyright. In the case of prompting an LLM, the human creation is the prompt, the LLM does author the implementation. But it’s not known what happens to the ownership of the LLM generated code

"Code is bytes of text on disk"....

...organized in a very specific fashion with a great deal of creativity and attention to that specific organization.

I can't copyright the alphabet, but I can copyright certain arrangements of it, subject to a variety of rules.