The proof of that is they even had to lie about how stable diffusion works on this website to make it convincing, that's a clear sign that they are in the wrong.
Even themselves discovered that the truth won't get them very far.
> Obviously this lawsuit is in the U.S but I suppose even if it loses here other lawsuits in other countries, with a different understanding of copyright, might succeed.
The cat is just out of the bag anyways, if machine learning is outlawed in the US, it will flourish somewhere else instead.
It is a multi-front battle they face.