Why don't we still have any games with AI agents used as NPC characters?

Do you remember this NVIDIA AI-NPC presentation from 3 years ago? Where all of that? Why do we even try getting agents to do all the work if they still cannot be reliably used as a characters in the video games? Isn't it should be the obvious first step in showing that AI agents actually work, considering a completely safe in-game environment. I am aware of many mods that tries to implement agents to already established titles such as Morrowind or Skyrim, but as I see it most of them were not successful.