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We didn't know you were the spokesperson for artists.
Art theft existed long before AI, with fake paintings, sculptures, etc...
AI has not only allowed people without talent to have it, but has allowed those with artistic talent to simplify their work, or even improve it.
AI doesn't work by itself, someone works on it to tell it what to do, how to do it, when to do it, what to do it with, stop your SKYNET fantasy that replaces us.
A word of advice: learn to use AI, otherwise your artist friends who do it will take your place, and you'll only have your eyes left to cry with.
Either you learn to live with the new technologies that will be the center of your profession, or with every job search, your application will come after all the artists who master AI.
If today you think you already have a job and you can never be replaced, when your company has to start working with the new tools at their disposal (AI), either you will learn, or they will replace you.
For drawing, you need to envision anything too and bring it down with your tools, weather it is with pen and paper, photoshop, krita, gimp or even AI. I remember that there was a similar discussion about art when programs like photoshop got popular that some people said, art is what is drawn on a real canvas, not in digitals.
Another similar discussion was between photographers when everybody got a digital camera or a smartphone with a good camera, they all at first act out of fear that anything new would replace the need of the artist until they than realize what the artist can do with that new stuff.
So why bother about that AI stuff? You can still play the game on your own without working with the AI for creating stuff.
People are replaced by AI though, it seems that people who are overly enthusiastic about AI happen to be non-artists. That isn't to say that it isn't a fascinating thing and I don't mind it for personal use.
But it is used for illustrations in children's books (not just illustrations, but also stories written by AI), sold as merch by content creators or companies thinking they can skimp on hiring good artists and instead opt for an AI that can crank out a vast array of (inferior) images within a fraction of the time it takes a properly trained illustrator - it means jobs are at stake. And instead of AI doing the menial tasks nobody likes to do, they start taking up jobs that represent our passions instead.
I suppose the artist could learn to work the tools and make adjustments when necessary - but to be fair - this isn't what artists are passionate about in the first place. They like to work the materials and they like to put in the hours to create something. The mastery aspect is as much part of art as the end result that everyone gets to enjoy. A brush stroke from an AI isn't as exciting as one from a masterful hand.
That said, would it be an issue if - let's say - people were to download images someone else made from the internet and use these in their games as well? I don't think the AI in this game is a problem at all - it doesn't end up for sale after all.