I see AI as being more useful in things like Bethesdas radiant quest system. Theoretically an AI could generate quest and character dialog and react in unique ways to game world events. As far as game elements, machine learning is actually a pretty good way to have dynamic difficulty where the player is pushed as far as they can go and game elements are tweaked accordingly. Or the AI could even design unique quest items and names if trained right.

Plenty of applications for it but I think we’ll see it overused in some games which will lead to bland or non-cohesive elements that on the surface are fine, but don’t amount to anything unique. Like imagine cyberpunk but written by AI and it’d be mostly generic dialog with few connecting ideas. It’s not impossible for AI to get better at that though and maybe if it were only trained on other game dialog or if it gets approved by a human first, it could be incredible.