This is the best summary I could come up with:

The entertainment company experimented with it earlier this year for a few weeks in a limited test, but when the GT7 Spec II update rolls out to consoles tomorrow morning, Sophy will be able to race 340 of the game’s cars on nine of its tracks.

Microsoft’s long-running Forza franchise actually has its origin in a neural net experiment, and more recently, its developers used each human player to train an AI agent that would populate their friends’ games, albeit with imperfect results.

“One of the challenges that really sticks out was trying to find a good balance between having the Sophy car be respectful of opponents around it—so have good sportsmanship—but at the same time being competitive in a race and making sure that it tries to take advantage of positions,” explained Kaushik Subramanian, senior research scientist at Sony AI.

“The technology allows us to run 20 cars at the same time, so that’s a limitation,” said Peter Wurman, director at Sony AI.

"The research goal is to get an agent to the point where it can completely replace the built-in AI and make the racing experience much more realistic and much more enjoyable for all players of all types.

The update also adds seven new cars (including the Lexus LFA, Mercedes-Benz 190E 2.5-16 Evo II, the latest Porsche 911 GT3 RS, and the Tesla Model 3), a new snow track with three layouts, some extra events to complete, including 50 new license tests, and four-player split-screen races (only on the PS5).

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The previous showcase of Sophy was actually pretty cool. I am curious to see how this has changed since that previous demo.