It's expensive, early attempts didn't impress, and many gamers are hostile to the tech because it threatens the livelihood of game creators and impacts gaming hardware prices.

It depends on if you want samey games or anything creative.

You could have complex realistic dialogue for innkeeper #28917 in the little hamlet of ass backwards, but:

One: do you really want that? There is such a thing as too much realism in a video game.

Two: do you really want all NPCs in all games to speak nigerian business english?

Reminder for 2: https://www.theguardian.com/technology/2024/apr/16/techscape...

Because games are entertainment, but outputs generated by current AI are rage inducing and felt hostile, not entertaining. It just isn't past the "make it work" stage.

at the current token prices, far too expensive, but in medium/long term I think we will see a revolution in this field, the concepts are already there (and the expensive proofs of concept already work)

It did, look at the game Suck Up or a variety of Skyrim mods. Problem is gamers are hostile to any obvious trace of IA in their games. Also, consumer hardware is overall too weak to run a convincing llm model.

LLMs have only been really good for a couple years. You can bet that the remaining AAA studios are working hard on figuring this out in current unreleased products.