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GPT4 for video game NPCs is going to be a nightmare. Just imagine having only flat characters and no ability to trust that quests and hints are real >.<
That was one of the problems that occurred to me when I read about a Skyrim mod using ChatGPT.

One of the things that astonishes me about this imminent disaster is that people seem oblivious that the main virtue of computing is getting definite answers to specific questions; LLMs will make computers completely useless for their primary purpose.

https://www.ign.com/articles/skyrim-mod-uses-chatgpt-and-other-ai-tools-to-give-npcs-a-memory-and-endless-things-to-say
Yeah exactly! It feels like we're going into this with the weirdest blindness
It's not that we can't see it it's that some people just like bad things.