I concur. There are several computer players on KGS that are rated between 1kyu and 5dan.
Put another way, at my peak I played 5 games against Kyoto's strongest amateur player (~7 dan), holding black. I won 1 and was handily smote (no contest) in the 4 others. After leaving Go for a few years, I've come back to be beaten by the 1kyu AI.
The high kyu/dan level programs are worth playing against. The ones under 20 kyu aren't - they don't play the sort of game you can learn from, especially when you're getting started and don't know what things are supposed to look like.
Put another way, at my peak I played 5 games against Kyoto's strongest amateur player (~7 dan), holding black. I won 1 and was handily smote (no contest) in the 4 others. After leaving Go for a few years, I've come back to be beaten by the 1kyu AI.