It's not a good thing if you think there's more discovery and progress to be made, rather than cannibalising a fully mature field with cheaper alternatives. Drowning R&D early is not good for everyone.
The happy ending where we're all living in a garden of eden cared for by benevolent AI is hardly worth considering when you look at the cast of characters who are in charge of the world right now.
Because they aren't giving you a cheaper service that fits your use case.
Best Case scenario, it's a trillion-dollar behemoth stealing from a billion-dollar behemoth so they can add their own explicit restrictions/weights on top to influence the masses.
There is no 'robin hood' here, any perceived value you get is clearly and explicitly tainted. "I don't care if it doesn't show me non-party-line results - It makes me a cheap UI !". Ethics/morals be damned.
I can't tell if you are talking about Anthropic or Alibaba here.
If your argument is that all present LLM offerings are unethical then that is something I am sypmathetic to. That said, I am also unable to offer a conceivable roadmap to undoing the opening of the LLM Pandora's box so I tend not ground my arguments in anti-LLM advocacy; that would be very 2023 of me.
The extreme of this is to make IP laws irrelevant and that everything should be in the public domain.
Which maybe is not a bad outcome for humanity as a collective after all.