Correct
At many of the top colleges, there really is no advantage to having AP credit. While you might be able to place out of an intro class, the student has to take another class in its place. There is some advantage to this, as the higher level classes have more senior professors, and sometimes can be easier.
However there are loads of public/private/other institutions that grant a lot of AP credit. I’ve known of several students who have enough credit to enter as a sophomore. This can be used to graduate early.