Procedurally generated AI? The issue there is whenever it needs to call the AI, likely there would be a big lag spike as the computer tries to create this thing. Now imagine you enter an area with 2 of these, and 4, or 10!! Now, obviously the AI is going to store itself to a seed so the same person has the same AI every time, but when things change? Say the beggar found enough money to buy a house, his AI needs to change to reflect that. He needs to stop begging!
But his seed says he is a beggar, so while you might leave the area with him acting appropriately, the next time you come in it picks up the seed for beggar, and he's in his nice clothes with a house and a wife and kids and begging you for cash.
fakeedit: thinking more about this, probably you meant the actual ai being saved and loaded after the initial generation? That would still produce spikes, but admittedly not as much as generating a whole new personality. This also hampers open-worldedness. The world would have to be divided into areas or cells and npcs per cell/area limited to save processing power and limit load times. It'd be taking a step backwards in that regard but would the dynamic procedurally generated AI be enough of a payoff to ignore that?
new thought: Why is the AI procedurally generated? Why can't you design these characters in an editor, with personalities etc. Unless you're wanting a procedurally generated world, it would be better to have pre-made AI that can change. The first time you enter a cell with a new npc could spend so long generating it's AI when all it has to do is load Actor_2014's AI (bounty hunter, aggressive, low morality, prefers to sneak up on targets).
All in all, the idea is pretty feasible (imho), it's just there would be a lot of loading screens and probably some issues with cell-crossover not working right (run outside of bounds of -1,-1 with a wolf chasing you, when you load -1,0 the wolf is gone because it isn't part of the cell you're in now) BUT that is probably easily avoidable.