Connect this to a robot that has a real time camera feed. Have it constantly generate potential future continuations of the feed that it's getting -- maybe more than one. You have an autonomous robot building a real time model of the world around it and predicting the future. Give it some error correction based on well each prediction models the actual outcome and I think you're _really_ close to AGI.
You can probably already imagine different ways to wire the output to text generation and controlling its own motions, etc, and predicting outcomes based on actions it, itself could plausibly take, and choosing the best one.
It doesn't actually have to generate realistic imagery or imagery that doesn't have any mistakes or imagery that's high definition to be used in that way. How realistic is our own imagination of the world?
Edit: I'm going to add a specific case. Imagine a house cleaning robot. It starts with an image of your living room. Then it creates a image of your living room after it's been cleaned. Then it interpolates a video _imagining itself cleaning the room_, then acts as much as it can to mimic what's in the video, then generates a new continuation, then acts, and so on. Imagine doing that several times a second, if necessary.
It'll be much harder for more open ended world problems where the physics encountered may be rare enough in the dataset that the simulation breaks unexpectedly. For example a glass smashing into the floor. The model doesn't simulate that causally afaik