I was talking with someone today about future applications of AGI, and we got on the topic of the potential for AGI (or even very very good AI) to be NPCs in video games. Their eyes just about popped out in excitement. I mean, how cool would that be, where every time you play a game, you could have an entirely new experience just based on having an interesting conversation with the NPC who sells you health potions or something.
I can't imagine that games will be anything like our current games at that point - with AGI involved, even early stage, they will be so open-ended, collaborative...it will no longer feel appropriate to constrain a game to a storyline. A game will simply involve the creation of a universe, with occupants, and the players take it from there ;-)
