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Lossly storing IP in LLM itself, and using IP for training (so it’s lossly stored in LLM), without licensing these works or otherwise following license agreements (eg GPL) is infringement. Using then this product for commercial activity is a smoking gun.
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"Lossly storing IP in LLM itself, a" - that part I'm inclined to agree with.

But it's debatable if that's the case.

Google stores copyrighted content and produces in in their product.

Also - it's fair game to use snippets of things here and there, if the derived work is novel, which I think it is for LLMs, mostly.

I do agree though, that we ought to draw the line somehow.

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> but they are different.

How, and why?

> We could very well end up where content IP is protected, LLM output is not and visa versa with reasonable legal founding, doubtful but plausible.

That is the current state of legal rulings - LLM output is public domain, not copyrightable.

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This misstates the small number of legal opinions and orders on this topic, none of which form binding precedent outside the districts where the cases happened. So even if a court had found that “LLM output is public domain” (none did) that wouldn’t make it “the law” until it went up the appellate system and was upheld.

Our current laws simply weren’t built for this and I expect the legal status of LLM output is not going to be resolved until Congress actually legislates on this topic.

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"> but they are different.

How, and why?"

How are they even remotely the same?

They're not even used the same way.

One is raw data input, the other is training content - designed to train LLMs.

One is a set of IP derived for other purposes entirely, and has esablished IP law - how you can use someone else's creative work or not ... for LLM outputs, less clear.

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