That is super not how fair use works:

In determining whether the use made of a work in any particular case is a fair use the factors to be considered shall include:

1. the purpose and character of the use, including whether such use is of a commercial nature or is for nonprofit educational purposes;
2. the nature of the copyrighted work;
3. the amount and substantiality of the portion used in relation to the copyrighted work as a whole; and
4. the effect of the use upon the potential market for or value of the copyrighted work.

Considering that OpenAI is making a commercial profit from developing its ML models, they seem to have missed #1 already. #3 also because the model usually ingests the entire work, not just part of it.

Actually, this makes me wonder if the design of OpenAI's business structure is intended to try to abuse this:

The organization consists of the non-profit OpenAI, Inc. registered in Delaware and its for-profit subsidiary OpenAI Global, LLC.

So, the "non-profit" part of OpenAI collects the data for "research" purposes, but then the for-profit side sells the product.

A lot of people would be surprised by the kind of half-wits these giant companies install near the top of their orgs.

This dude probably hasn't read a single license agreement in his life, and they probably got where they are by being in the right place in the right time. Instincts haven't done them wrong yet so why stop now?

Rules for thee!

Then every time their commercial AI outputs anything even remotely infringing, they should be on the hook for every. single. incident. by. every. user. every. time.

Thats ok. I think its perfectly ok to “steal” m$ content.

this guy's sweater makes his arms look like they are an outgrowth of his hips

I feel like these tech bros are the same kind of dullards in highschool who would argue with the english teacher about how studying symbolism, metaphors and subtext etc. was a waste of time. They don't view things like art or creative writing as products of actual labor because they're not strictly technical endeavours, they don't have the capacity to understand where that stuff comes from so they develop this world view where they see it as just something frivolous that creative people casually produce almost without effort or study.

The way these people's brains work is, ironically, so shallow and literal.