That doesn't seem right to me. The closest I could come is seeing humanity, or perhaps the human species, becoming NPCs in their own story.
But I think individual humans have always been narratively secondary in the story of humanity.
And I think that's fine, because "story" is a fiction we use to manage a big world in the 3 pounds of headmeat we all get. Reducing all of humanity to a single story is really the dehumanizing part, whether it involves AIs or not. We all have our own stories.