I don't know if that argument is true, but it does make some sense.
In fact, I think you might argue that modern chess engines might have more of a world model (although an extremely limited one): they interact with the chess game. They learn not merely by studying the rules, but by playing the game millions of times. Of course that's only the "world" of the chess game, but it's something, and as a result, they know what works in chess. They have a concept of truth within the chess rules. Which is super limited of course, but it might be more than what LLMs have.