It's very misleading. If I'm actually playing a game I don't get the coordinates of enemies sent back to me so that I can feed into my mouse to snap my crosshair to. It's looking through walls too, because it's working off structured state in text form. You could re-create this whole demo without using AI. Have an LLM generate the state machine for you and no model is required to run it.

The impressive part is that it is low latency enough to serve high quality answers at game speed through the model instead of a pre generated ad-hoc machine.