Trends come and go: What's important is that your CEO isn't underinvesting in the product.
I once was in a company during the "everyone is going to replace their laptops with tablets next year era." The CEO pushed heavily for mobile, and underinvested in the actual product.
A year later, all of our customers were still using their laptops. We were sold to a private equity firm, the CEO was pushed out, and (almost) everyone who worked on the failed mobile product was out of a job.
In your case, I'd try to decide if your CEO is just following a fad. If so, next year they will follow a different fad. Are you critical to your business? If so, you'll be critical to your business with or without AI. If not, figure out how to make yourself critical to your business without being vulnerable to this year's fad...
(...And perhaps ask ChatGPT for advice. If you can't beat it, join it.)
I imagine there are a lot of stories like that from the "everything needs to be a mobile app" era.
So many companies invested vast engineering resources in building out iOS/Android apps only to later find that their users only interact with their tool once every few weeks, which wasn't often enough for them to earn a place in that relatively tiny list of a few dozen apps that any one individual actually uses.
For many users with cheaper phones asking them to install your app is asking them to pick which of their photos they're going to delete to make space for it!
I remember when the internet got popular (I'm old) and Windows 98 put hyperlinks in the OS and made a lot of stuff single click instead of double click and BOOM! "Internet ready!"
In our case, it turns out people preferred using spreadsheets and word processors on a laptop instead of a tablet.
Seemed kinda obvious at the time; but that probably explains why the leadership was forced out.