The citizens of a simulated city inside a video game based on “The Matrix” franchise were being awakened to a grim reality. Everything was fake, a player told them through a microphone, and they were simply lines of code meant to embellish a virtual world. Empowered by generative artificial intelligence like ChatGPT, the characters responded in panicked disbelief.
What does that mean,” said one woman in a grey sweater. “Am I real or not?”
The unnerving demo, released…

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