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Training Generative AI Models on Copyrighted Works Is Fair Use - Change My Mind
(mastodon.lawprofs.org)
This is a most excellent place for technology news and articles.
I agree with your statement as stated. (EDIT: title has changed since posting)
The part I have an issue with is the output that tends to fall into 4 categories:
output that is creative and unique is acceptable
output tricked into revealing source is infringement
output not creative, as in biometric identification, utilizes the entirety of copyright work in a non-transformative way and needs to be licensed.
output of creative work, while not copyrightable, can still infringe trademark.