You can do that also while playing a traditional tabletop RPG. Players typically don't do it because why would they ruin immersion?
I understand that in multiplayer with strangers it would be a problem because you could affect other players' experiences, but in a single-player game I don't see this as a big issue, as long as the NPC doesn't spontaneously bring immersion-breaking topics into the conversation without the player starting it (which I suppose could be achieved with a suitable system prompt and some fine-tuning on in-lore text).
If it's the player that wants to troll the game and break immersion by "jailbreaking" the NPCs, it's on them, just like if they use a cheat code and make the game trivial.
It's still gonna be hallucinatory AI slop. For the same reasons it makes uninteresting quests and boring planets. It's lazy and it can't replace actual writing and art.
AI is great for getting tasks done where you can pull the information you need out of the slop. For quality immersive entertainment it's not there.
I understand that in multiplayer with strangers it would be a problem because you could affect other players' experiences, but in a single-player game I don't see this as a big issue, as long as the NPC doesn't spontaneously bring immersion-breaking topics into the conversation without the player starting it (which I suppose could be achieved with a suitable system prompt and some fine-tuning on in-lore text).
If it's the player that wants to troll the game and break immersion by "jailbreaking" the NPCs, it's on them, just like if they use a cheat code and make the game trivial.