It is one example of what could happen, smileys are but a specific example.

Paperclip optimizer problem, yes. The problem here is in the assumption that a sentient self-programming entity could not adjust its valuative norms in just the same way that you and I do -- or perhaps even more greatly so, as a result of being more generally capable than we are.

The size of mindspace that does something approximating what we want is probably a small portion of that.

I'm already assuming that the AGI would not do things we want. Such as letting us continue living. But again; if it is sentient, and capable of making decisions, learning, finding values and establishing goals for itself... even if it also turns the entire cosmos into paperclips while doing so -- where's the net negative utility?

I value achieving heights of intellect, ultimately. Lower-level goals are negotiable when you get down to it.

And the empire systematically wipes out human minorities and suppresses new scientific discoveries because they might disrupt stability.

And eats babies.

You're willfully trying to make this hypothetical horrible and then expect me to find it informationally significant that a bad thing is bad. This is meaningless discourse; it reveals nothing.

If this isn't clear, I'm trying to make this about as dystopian as I plausibly can.

If it isn't clear that by willfully painting a dystopia you are denuding your position of any meaningfulness -- it's a non-argument -- then I don't know what will be.

You haven't provided an argument about why what you initially described would be dystopic. You simply assumed that humanity spreading itself at the cost of all other sentient beings would be dystopic.

That's simply a bald assertion, sir.