I would probably trade. I can get plenty of average potential talent pretty easily. But top talent is rare and very hard to pry away. Those are the special players at the end of the bell curve that dominate the game and can give WAR greater than multiple average players. So I'd have no problem taking a chance on a player like that.
Of course, I would look at how far along each prospect is and consider the likelyhood that they would be able to make the progress needed before they become too old and development stops.
The AI team is probably most interested in your prospect that is already capable of playing in the ML, and they probably can use him in the rotation right now.
Also, try looking at it the other way around. I'd bet you and probably many others posting here would never give away your 5 star pitching prospect for a pair of 3.5 star prospects. I know I wouldn't, so that why I'd make the trade. I think that falls under the pyschological fallacy of
loss aversion.