Every single game dev on Earth has been thinking that since the very first GANs, but the state of the art when it comes to generative AIs that are actually useful for asset generation is still pretty bad.

Much like LLMs are still pretty bad at logic. It seems like we're plateauing in that regard...

The thing about assets is that they have to be coherent with each other. You can't just generate them one at a time in a bunch of different styles and sizes or they'll look terrible. In the simplest case you want to generate at least an entire spritesheet for a single character or object. And that's still fundamentally impossible with modern generative AIs