Not necessarily true. People talk about “fake meat” all the time but it’s clear there’s no level of fraudulence implied by this usage. It’s meant in the sense of “artificial meat”. There are multiple ways the word “fake” is used, and one is as a synonym for “artificial”.

However, in this case, it does seem that there is a level of fraudulence and deception. Given that “fake” often is used exactly the way you say, maybe “fake intelligence” would indeed be a more appropriate term.