LLMs extract semantic information from their training data and store it at extremely low precision in latent space. To the extent original works can be recovered from them, those works were nothing intrinsically special to begin with. At best such works simply milk our existing culture by recapitulating ancient archetypes, a la Harry Potter or Star Wars.
If the copyright cartels choose to fight AI, the copyright cartels will and must lose. This isn't Napster Part 2: Electric Boogaloo. There is too much at stake this time.
In some cases they can be prompted to guess a number of tokens that follow an excerpt from another work.
They do not contain all copyrighted works, though. That’s an incorrect understanding.
It's not like users are accidentally producing copies of Harry Potter.
Commercial use of someone's image also already has laws concerning that as far as I know, don't they?