The LM industry valuation would be way smaller if they were not laundering behavior that would be illegal if a human did it. If "AI" were required to practice clean-room design (https://en.wikipedia.org/wiki/Clean_room_design) to avoid infringing copyright, we would laugh at the ineptitude. If people believed the FTC-CFPB-DOJ-EEOC joint statement was going to lead to successful prosecutions, the industry valuation would collapse. https://www.ftc.gov/system/files/ftc_gov/pdf/EEOC-CRT-FTC-CF...
If you spend weeks drilling flash cards on copyrighted code, then produced pages of near-verbatim copies with copyright stripped, any court would find you to have violated the copyright. A lot of people right now are banking on "it's not illegal when AI does it", and part of that strategy is to make "AI" out to be something more than it is. That strategy has many parallels to cryptocurrency hyping.