Which of the following are true?
(a) the legal industry is susceptible to influence and corruption
(b) engineers don't understand how to legally interpret legal text
(c) AI tech is new, and judges aren't technically qualified to decide these scenarios
Most likely option is C, as we've seen this pattern many times before.
I think the overly liberal, non-tech crowd has become really vocal on HN as of late and your sample is likely biased by these people.
Where are you getting your data from? My conclusions are the exact opposite.
(Also, aren't judges by definition the only ones qualified to declare if it is actually fair use? You could make a case that it shouldn't be fair use, but that's different from it being not fair use.)
Any reasonable reading of the current state of fair use doctrine makes it obvious that the process between Harry Potter and the Sorcerer's Stone and "A computer program that outputs responses to user prompts about a variety of topics" is wildly transformative, and thus the usage of the copyrighted material is probably covered by fair use.
Just asking for a friend who's into this sort of thing.