For sure it’s intellectually interesting if AI can generate something novel within demoscene constraints (140 chars or extreme low res or a POKEY chip at 1MHz or whatever) … something humans maybe thought impossible … like a winning move that makes a go or chess grandmaster say WTF. It changes what’s possible. But then most of us (?) still hope the sport/scene/art goes back to human endeavour.
I’ve been to parties where demos are running on a large screen, even ones we’ve seen before, and the audience will ooo and aah because a human figured out how to do that stuff under constraint. The magic is lost if it’s generated IMO.