The only downside is that the participants need to be familiar enough with their chosen game to do a randomizer which means roping in casual players is difficult.
Casual players can be fine with some games. Some actually become easier with Archipelago (e.g. Noita, Risk of Rain 2) since you’re getting meta-progression between runs that normally wouldn’t be there. Others though are especially punishing for new players (Doom comes to mind - you have to be pretty intimately familiar with the levels. There’s keys hidden in secret areas sometimes, for example, and ammo can be very scarce.)
Someone gives an LLM a prompt, gets the result they asked for. Not sure what the collective gasp is about. Is it interesting to think about? Sure, I guess, but we’ve had media about AI achieving sentience for a long time. The fact that this one was written by an AI in the first person is its only differentiating attribute.