Welcome to Simulacra.
AI models produce representations of reality without having a direct experience of it. They are trained on representations of reality that we create, and then create new representations of reality that synthesize those representations. It all seems very much like a direct manifestation of Baudrillard's idea of simulacra, which describes a state in which reality has been "referenced" and reconstructed from the reference and reconstructed from reconstructions of references so many times over that the product no longer bears any relation to the initial reality, and becomes its own meta reality.
As generative AI products increasingly permeate the culture industry, and the trend continues of the online world and the culture industry that we access through it acting as an omnipresent extension of the physical world, this meta reality (what Baudrillard calls hyperreality) i s becoming indistinguishable from and very much fused with reality as a whole.