What a lack of human embodiement prevents in AI is strong communication with humans. Why ? Because as Lakoff hinted on, they'll lack grasp on the linguistic twists and metaphors that make our language relate to our everyday experiences. The problem will be similar to the problem we would have trying to communicate with a bird or an insect. We don't ground our communication in the same things at all.
Yet we manage to communicate with them.
I do find it frustrating that topics in AGI are discussed as though no one has thought about them. This year for example there were about 90 attendees at the AGI conference in Quebec, however there were numerous AGI topics discussed at both AAAI and the CogSci conference. So not only is the small group growing but more is being discussed in the more mainstream groups.
Well, then let's simulate the body as well once we got the brain right.