>2) So far, these tools are "better search" schemes, not actual intelligence. Sure, many find them very useful. But given this, the (voluntary or involuntary) providers of data ought to get credit/benefit for/from this phenomena, along with the tool creators. Especially giving the current situation is Microsoft/OpenAI selling to commercial software developers who sell to general public.

What they are good at is predicting what's after the text. The problem of predicting what's next could be used to create a universal artificial intelligence (there's a mathematical definition for this). I.e. if you have a system which is very good at predicting what's next, you could get to very powerful AI.

If you are interested, you could read about it here: http://www.hutter1.net/ai/uaibook.htm

#1 is a pretty dumb argument. Should all of Silicon Valley VC backed startups send Linus Torvalds billion-dollar checks?

I don't see a world where Copilot isn't fair use (at least in America).