I don’t see these grants or public funding ever covering a private company for one. And for two, I don’t see AI art ever actually getting to the point where it fully replaces artists. As of right now it is good. But it doesn’t understand space or lighting at all. Because of how AI works I’m not sure it ever will. Because it is trained to make a homogeneous rendering of what you are looking for, even if you use a base image, most people have an image that is lit heavily in the front, but because of this it never is able to render shadows correctly. Unless they hire people who are artist or art critics to finely train the data set, which I doubt they will, then the more you look the more uncanny valley the images get. They also have a hard bias in all of their images they generate. Which is difficult to overcome.
AI is an amazing tool, but it is a poor replacement in total. The people who act like it is a total replacement are like the people who in 2015 told us self driving cars were just one year away, and have been saying it every year since. Maybe when quantum computing becomes the standard for every person AI will be able to. But there is just a fundamental misunderstanding of art, artistic process, how art get made people seem to have.
Open AI might be sitting on Microsoft money, but how many other companies has Microsoft gobbled up over the years? Open AI if it starts to struggle will just fall under the Microsoft umbrella and become part of its massive conglomerate, integrated into it. Where are our AR goggles that we are supposed to all be wearing, Microsoft and Google both had those? So many projects grow and die with multiple millions thrown at them. All end up with crazy valuations based on future consumer usage. As we all can’t even afford rent.
There is also this idea that people wouldn’t willing contribute if just asked. The problem is no one has even asked. Hugging Face is an open source distro people willingly contribute to. And so many people upload images to Creative Commons which could be used. I’ve done it with many of my photos which I have no problem being used in a data set, for commercial use even. But my commercial images, no please. The idea that you can’t train smaller models on the vast array of Creative Commons images and public domain, you absolutely can. You can also ask people to contribute to your data set and give credit to them. A lot of people are angry at lack of credit.
There is no reason for any of this to be private enterprise if they are going to blatantly steal copyright images when sources like Creative Commons exists, not give any credit to the people they steal from, and sometime even steal from places they shouldn’t even have access to.