(note: my post here is based on the official english subtitles; I don't speak japanese).
So I've watched the documentary "Never-ending Man, Hayao Miyazaki". It's interesting, but there is a particular scene I want to comment on, where, near the end of the documentary, some M colleagues introduce him to CGI done by AI.
First, M meets a colleague from Dwango at his (M's) home. After being told some infos on CGI/AI, M replies: "if they do that, we won't need humans", at which point, the director cuts. The cut is meant to highlight the intended final response to that exchange. What the public has to think is that AI is something in contrast to humans, and therefore AI should be seen as an enemy and rejected. It's one of those luddist feel-goodie messages that has been seen countless times in movies, animes, etc., where humans in the end are better than machines, and machines go crazy and make lots of sparks. The comment comes from M after all, so it must be the correct thought to have (sarcasm).
Next, there is a scene in the Studio Ghibli conference room. The same guy from before, plus some
colleagues, show a demo of an AI test program. This program has nothing to do with CGI; it's simply
a demo of AI learning.
In the demo, the AI has the objective to learn how to move a body made of some masses joint together. It's important to understand that the AI was not programmed beyond that, so it only knows the concepts of physical body, physical constraint, and movement. The result is that the AI moves this articulated body as just a series of physical bodies joint together, however awkward it looks. The creators of the demo decided that the awkward movement was fitting of a zombie-like creature crawling around, so they put that in the demo.
Some old  or more recent  tests of similar type, decided to use acquatic creatures. Some other , go for sticky figures.
Again, the demo was meant to show AI learning; the context (the crawling zombie) didn't matter.
Guessing from the english subs, I think the guys presenting the demo did not pitch it very well.
The response that M gives, is crazy. He goes into some phylosophical judgement, mentioning an old
friend of his, which has some movement handicap, and the demo reminded M of him. So he doesn't like
He says that who made the demo has no concern for physical pain, and he (M) doesn't want to be associated
with it; "It's an awful insult to life".
...What the actual fuck??
What has that anything to do with the demo?! M clearly has not understood what he saw.
The guy presenting the demo tries to save it by saying that it's experimental and it's not something shown to the public, which is a retarded excuse, because in a zombie game/movie, a creature like that (or similar) would be shown to the public, and there would be nothing wrong with it. To be honest, zombie or horror games/movies already show that kind of monsters, and even worse! The difference is not the monster, nor the movement, it's the learning of the movement by AI.
The presenter did a terrible job. It's even possible that he did not understand that M did not understand, that's why he came up with that stupid excuse.
At the end, Toshio Suzuki (also present in the conference room) asks the presenters what's their
end goal, and they reply: "a machine that draws pictures like people do".
At this point the camera goes to M, which looks kind of frozen. It looks like he realized that he
the demo at all; that he ranted about the zombie thing, which was totally off-topic and irrelevant.
So he stays silent for a few moments.
Next scene, M goes: "I fear the world end is near" ...Oh come on, just fuck off.
Then: "Humans have lost confidence". That's not the reason AI is researched. They didn't say "We are not confident anymore, let's drop all the work on the robots, they know better!". The same way somebody created machines to help humans harvest raw materials and then put them together to produce the pencil M uses to draw in that very scene, somebody is making some other more complex machines to solve more complex problems. M thinks that some machines are better than others, I guess. Especially those that don't steal his job..
Then some melancholy music starts, and soon after, a storm! Sniff, sniff, the world must be ending. Evil AI! Even the gods are against you!
The direction and editing obviously don't portray what actually happened in full, but I had the
impression that by trying to push the human-vs-machine message, they also (kind of accidentally)
kept enough material to infer that M wanted to try CGI, but then simply didn't like the process.
The reaction of M to the demo was a -more or less- luddist one. During the documentary it's clear that he wants to experiment with CGI, but because he doesn't know how to use computers and basically doesn't want to learn, or his teachers suck, whatever, he has to over-explain everything to those who actually use the computer, so he seems to grow frustrated and skeptical of it.
The AI thing was the last nail in the coffin, where he becomes scared that a machine one day could do his job at his level, or even better than him!
So he decides to go back to manual drawing and animating. And that's not a bad thing, by the way. M is a maestro and his works are great as they are. If in the end he decides to not join the CGI circus, it doesn't really matter.
 Sims, 1994, "Evolved Virtual Creatures"
 Corucci et al, 2017, "Evolving soft locomotion in aquatic and terrestrial environments"
 Google's DeepMind, ~2017