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(Also, ♥♥♥♥ AI, these AIs are just theft)
AI using reference data from an artists portfolio is no different than a person using reference photos to learn, copy, or even trace.
There will still be a place for Original artists, AI is just the next tool in a long line of tools that artists have been given to create from the beginning of time.
It's fine when humans with "soul" and "emotions" steal for referencing but when AI does it people lose their marbles cuz machine bad
But it is so typical people with absolute ZERO knowledge in computer science, and who thinks Terminator and Matrix are reality, always panicking about this. These are pure fiction.
"the designs would have been bought from different artists at a rather high price"
You know why the price is rather high? You can ask Walt Disney the same thing. Once blood is in the water that a business is commissioning for a project the people jack their rates up no differently than when contractors bid for government money. Something that normally goes for 400$ now becomes 2k or 3k once they learn you are commissioning for a business.
While if you can afford to have staff of artists full time for a project that is great, but not every business can afford that so they have to commission or contract hire artists. So sometimes you will end up dealing with some very scummy people and hope that you might get lucky that a few of them are decent to work with. Yea, and you might say for every commissioner who has been burned so has an artist. Which is why A.I. programs became popular, so companies can pay artists for the content they want and not have to deal with the head ache for the filler content that would cost an absurd amount otherwise which can be done with A.I.
This is the same trite garbage that falls out of the mouths of anyone when innovation threatens the existing system. Instead of becoming better or learning new tools, they'd rather things remain the same. Luddites is too kind of a term.
Don't get me wrong, I get it for artists who used a site (not reading the ToS) which basically allowed the platform to sell their data without offering payment beyond use of their distribution platform and all of its services that help the artist get noticed. Though in any other market if you sign a dotted line without reading the terms it is on you to take it to court, and it is on you to solve the problem for yourself. Not to morally grand stand about a choice that people are making fully aware of the consequences.
Now why am I so passionate in my response? Because I can see things from both sides instead of being a self-righteous fool. I know artists who do not put their work on certain platforms because it means their work will be used in A.I. programs. Thus keep a private portfolio, or for a few of the professionals they do not care because their work is in high demand so their career is not threatened by these programs. Heck, people are starting careers editing or improving on A.I. designs because instead of being artists they can sell their skills as editors due to this new A.I. market.
It is just how technology evolves.
I don't use A.I. in my company project only because the legal grounds are still a bit less stable than I would like, so I will wait until the technology is a bit older (more normalized). I still commission and contract who I can, and you could not begin to imagine how frustrating of an experience it is being on the other side. Try running or starting a business, it is not as easy as you think.
Heck, imagine having to spend every day dealing with people and the only way you can know if someone is good or scum is through trial and error. Anyone can tell you, when dealing with people you are looking for a needle in a haystack and there is a hell of a lot of hay to sort through.
Also lets be real, the people who cry the loudest are not pushing out work that competes in the professional market. Most of them are opportunists hoping they can get some sort of payout, despite using platforms (that is not free, as it is a business) under the conditions they have agreed too. The other half of the people who complain are just self righteous and get offended on other peoples behalf because it's a way of virtue signaling.
One of the CK3 artists show cased how he used ai art and painted over it / used it as a reference (been a while don't remember which one).
If you read the rules though for this company, anything that is made in the game including stuff submitted becomes property of the company and can be reused or subject to ai learning.
The ai part of the game is in the character creator, not the actual game. So i can imagine the ai creates a jpeg or png file of the texture and the game uses that. Guessing the file would be stored on your computer but it could be a cloud system...maybe.