The lack of empathy is incredibly depressing...
a) the panic is entirely misguided and based on two wrong assumptions. The first is that textual input and treating the model as a function (command in -> result out) are sufficient for anything. No, this is a fundamentally deficient way to give artistic directions, which is further handicapped by primitive models and weak compute. Text alone is a toy; the field will just become more and more complex and technically involved, just like 3D CGI did, because if you don't use every trick available, you're missing out. The second wrong assumption is that it's going to replace anyone, instead of making many people re-learn a new tool and produce what was previously unfeasible due to the amount of mechanistic work involved. This second assumption stems from the fundamental misunderstanding of the value artists provide, which is conceptualization, even in a seemingly routine job.
b) the panic is entirely blown out of proportion by the social media. Most people have neither time nor desire to actually dive into this tech and find out what works and what doesn't. They just believe that a magical machine steals their works to replace them, because that's what everyone reposts on Twitter endlessly.
Is it though? What if I were to look at your art style and replicate that style manually in my own works? I see no difference whether it's done by a machine, or done by hand. The reality is that every art is a derivative of some other art. Interestingly, the music industry has been doing this for years. Ever since samplers became a thing, musicians spliced and diced loops into their own tracks for donkeys years, and created an explosion of new genres and sound. Hip-hop, techno, dark ambient, EDM, ..., all fall into the same category. Machine learning is just another new tool to create something.
Personally, I'm all for AI training and using human artwork. I think telling it not to prevents progress/innovation, and that innovation is going to happen somewhere.
If it happens somewhere, humans who live in that somewhere will just use those tools to launder the AI-generated artwork, and companies will hire those offshore humans and reap the benefits, all the while, the effect on local artists' wages is even more negative because now they don't have access to the tools to compete in this ar(tificial intelligence)ms race.