But what if instead of laying people off - you can expand the project's scope instead? In my country's gamedev community "GTA in our country" is a meme, because we don't have enough funding and manpower to make a GTA-sized game. But with AI assistance it could be feasible. And big companies like Rockstar, instead of laying people off, could make something truly massive.

The same with movies. We can't make anything like James Cameron's movies. But with AI we could.