The thing is, as was the case with many goods where individual craftspeople were largely displaced by industrialized mass production, the expression of the individual artist or craftsperson was often not what the market was paying for anyway. They were paying for something utilitarian, but limited by the available methods of production.
I expect there will be AI based art, not sure in which form, and people will still find joy in it.
There’s plenty of visually impressive AI art out there right now. No one is celebrating it.
I didn’t mean to imply artists don’t use technology. And certainly include photography in my definition of things made by the hands and minds of craft people. I have a degree in photography to back that up. But as with all technologies individuals will choose where their line of interest is drawn. There will be AI based art, and their will also be an audience who don’t want it.