I'm perfectly free to ask people on the street for t-shirt with Mario on it, but as soon as someone who isn't Nintendo or licensed by Nintendo sells me that t-shirt they're the ones infringing on the copyright and trademark. As the consumer I did nothing illegal, and a court would say that I was deceived by the infringing party.
Distribution (seeding, uploading) and facilitating copyright infringement is what gets you in trouble. When you ask DALL-E (a paid, commercial product) for a picture of Italian plumbers and it gives you an obvious picture of Mario 100% recognizable to the layperson as Mario and not a distinctly different image of a similar character, that's blatant trademark and/or copyright infringement on the part of OpenAI.
> If the AI is completely unable to generate non-infringing works even if you are _trying_ to get away from it (which the author very much doesn't seem they are, they are purposefully making and show prompts that infringe), that's the problem of the AI creator then.
I see some parallels to the Napster lawsuit. The fact that the users were the bad people asking for infringing content didn't give Napster the right to facilitate infringement. Napster was ordered to monitor its network and make sure that they were blocking non-legitimate uses. They couldn't logistically comply and went bankrupt.
https://en.wikipedia.org/wiki/Napster
Which begs the question: Does OpenAI even have the technological ability to block trademark and copyright infringing content generation? Even if they do, how useful will ChatGPT be if all phrases and imagery that closely resemble copyrighted works are blocked from output?
Whats even worse for OpenAI compared to Napster is that it wasn’t individual users uploading copyrighted content, it was OpenAI’s ingesting the data. Nobody twisted their arm to include copyrighted works in their models.