This came up as a YT suggestion. It's a demo. It may be the sort of thing we'll see in games eventually.
link from video
Talking To NPC's
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Re: Talking To NPC's
That's similar to what I envision for AI in RPG games. However, you can't "convince" them of anything, because they don't really cogitate. The word "intelligence" is being used too loosely. They are actually programmed for that contingency in this case, as it was anticipated, of course.