As far as consumer interest goes, the problem with Web3 is it sells the means rather than the end. Nobody cares if your Twitter/Substack/Spotify Web3 alternative is decentralised or you own your own data on the platform. To win it has to be immediately useful and/or better than alternatives.
Content generation AI is so obviously useful to the majority of people and it does not require an understanding of how it works in order to be impressed by it.
Impressive for sure. Usefulness is still being explored (outside of a few early things like Copilot).
The majority of people are still interacting with this stuff primarily as a toy, and while it's a much, much smaller leap to imagine how you'd use it in everyday life vs. something like web3, most people aren't yet, and I don't think it's an absolute certainty that they will (or at the very least, how universally they will).
Content generation AI is so obviously useful to the majority of people and it does not require an understanding of how it works in order to be impressed by it.