It is not a sitemap. A sitemap lists every URL; llms.txt is a short, curated, human-written summary of the pages that matter and one line on what each one covers, written for an AI system trying to answer a question about the business rather than for a search engine deciding what to crawl.
The standard is still early
Not every AI crawler reads it yet, and adoption is uneven across platforms. That is the actual argument for having one now: the group of businesses that maintain one today is small, and it needs to stay accurate, a stale or wrong llms.txt is worse than none, because it is one of the places a model now goes to check what is true about you.