Well I do not think Game AI will be able too be aware or able to detect anything outside of the game world.

As I see it "skynet" or some sort of assisting AI system will gain a "self consiousness" first.

I think that HIGH LEVEL AI Units be computers or robots at some point in the future should only be allowed if they are properly closed systems that arent able to wire or connect with other things.

And that configuration and extensive programming and updates should be done on that system or brought to it with offline storage mediums that later is cleared of all data, before its put back into a computer.
So some sort of HDD or discs would be ideal, a powerful magnet or offline system that automatically erases/overwrites multiple times will do. just to be sure the AI wont spread or do something funny somwhere else. a ROM storage device should work too(Read Only Memory) but I think it would be a waste of resources and money.

@ TENTONGUN

I doubt that would be true, there are companies and scientific institutes out there, Honda being one of them that are working on human like AI in the field of robotics. I would like to assume that this is where the peak of AI technology will always be found.

As for videos games, I can only speculate that the extent of AI will always be developed to be good enough for the required situation. Not something we would recognise as true AI as portrayed in Hollywood movies.

PC will always have the advantage. Consoles might get a jump on a PC for say 1-2 years with a higher thread count CPU. As I say though within 1-2 years CPUs for PC will be outshining anything on a console. Which in some ways on a console does allow for some new types of game development, but with a PC even with lower thread count CPUs they have ten times the power and already feature higher end Graphics cards by the time the next consoles get released. CPUs for example. Power7 will feature 4, 6, 8 cores with 4 SMT threads per core. Right now Intel and AMD both have 2 treads per core and highest count goes up to 12 cores and 24 threads. Planned for 2012/2013/2014 release I believe. As far as typical Single Desktop CPU goes. PC CPU is still more powerful.

Ray Tracing rumors I am uncertain about. Open RL could exist on PC and at least one of the next generation consoles. As Imagination Tech plans on possibly releasing a high end graphics card on the PC Desktop market with DirectX 11, OpenGL 4, OpenCL, and Open RL, and few other APIs in 2012.

Do you know a concrete thing about the next Xbox? No. Is AI sophistication purely a question of "processing technology"? No. Is there such a thing as a headline that doesn't "fish for hits"? No. Are you objecting to claims the article doesn't make? Yes. Do you have a chip on your shoulder? Yes.

that is what fable anniversary is.