Generative content on the fly sounds insane to me.
I saw a study that used games to make difficult choices (for example, ethical questions such as who to kill: a young man, a woman or a baby) and those playing the game (knowingly) would make an anonymous choice, which aids AI in answering such moral questions. In a Utopia where UBI and resource equity exists powered by AI and bots, people's main jobs would consist of helping answer such questions to guide the AI, hopefully through very entertaining, generative AI games.