Are text-to-image AI legal? It’s a hard question to answer. The question arises because of the way generative AI systems are trained. Like most machine learning software, they work by identifying and replicating patterns in data. But because these programs are used to generate code, text, music, and art, that data is itself created by humans, scraped from the web and copyright protected in one way or another.
Source: The scary truth about AI copyright is nobody knows what will happen next