That's the thing about machine learning over time, and the big hole in the whole world model idea. Time and time again we make simulations and train models and we think that loop will work. It never does.
And why not? Because the first model that can actually learn to handle the simulation not only can do the simulation internally too, but it can do it better than out simulation.
It's where (ex-)"AI luminaries" go to die. It's a way to make glacial, slow progress in the correct direction while never actually getting anywhere.
So we get to a point and people keep making complicated simulations of one kind or another ... and then someone (some model) who's never used the simulation, and doesn't need it for model training gets by far the highest score on every benchmark and everyone agrees the simulation was kind of beside the point.
It depends if the goal is a more accurate simulation, or if the goal is a tool for creatives to build games or content.
If it's the latter, I don't see a 'hole'.