The scenario I've been picturing is more or less the complete fragmentation of media completely. We'll enter a world where, through a single piece of software, you'll be able to write a prompt along the lines of "Make me a movie starring This Actor, about This Kind of Thing, with These Kinds of Scenes and This Kind of Tone." Past that, you won't even need to write a prompt - the machine will have enough information about you at some point to generate content specifically designed for your tastes.
For the unwashed masses, that'll be good enough. Instead of endlessly scanning streaming libraries for something to watch and zone out to, they'll instead watch their AI-generated content, about the things they like with the "actors" they like, and that'll be that.
Which on some level, sounds interesting. But what that'll represent, in a broader sense, is the death of shared culture. Nobody will know anything about the other, there'll be no shared stories, no shared experiences. Everything will be fragmented down to the individual, the individual wants and desires, and nothing more. The social implications of something like that are hard to predict.
As always, I'm glad I'm old. My mind is already slipping, so by the time this truly becomes a horror show that upends reality, I'll hopefully be sat in an armchair drooling out the side of my mouth, not really caring what the difference between AI and reality is anymore.
Young people - sorry that you're going to grow up in an increasingly isolated world where reality is unverifiable.