Adding to the fact that people who write code are in general much better compensated in most industries than people who produce art, having software replace artists feels like "punching down" in a way that having software replace people who write software doesn't. As a software engineer, Ilif I use AI to write a bunch of code for myself, I'm much better able to understand the tradeoffs to my future employment in a much more visceral way than I ever could for what using AI-generated art might mean for an artist. Even with all of the recent proclamations that code is "solved" and fearful predictions that programming jobs are going to stop being so cushy, the job market for the average software engineer is probably at least an order of magnitude better than it is for the average artist in terms of compensation and job security, and AI or not, I don't see that changing any time soon.
But a line of buggy code will be substantially more impactful than a poorly drawn model. An extra finger on a model doesn’t cause your save to be corrupted or a quest to hard lock.
I don't think that's true, I could mention a few examples, the cliché of the Unreal Engine hair style or lights and on the other side of the spectrum, the custom made engine which made TinyGlade what it is.
Game development iterates with what's brought from the coding side.