I mostly agree but I think that, in some cases, cliche is exactly what we need. AI could be used for the background dialogue generic NPCs have in open world games if used well.

Overall I think AI is nowhere near advanced enough to be used at a large scale in gaming but it'll probably get there in 5 to 10 years if it continues advancing at this rate.

The main issue I see with it is that you need special hardware to run neural networks in a native environment and personal PCs don't have that so you are stuck with always-online, machine learning or pre-processed data.