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This is tough. I believe there is a lot of unfair wealth concentration in our society, especially in the tech companies. On the other hand, I don't want AI to be stifled by bad laws.
If we try to stop AI, it will only take it away from the public. The military will still secretly use it, companies might still secretly use it. Other countries will use it and their populations will benefit while we languish.
Our only hope for a happy ending is to let this technology be free and let it go into the hands of many companies and many individuals (there are already decent models you can run on your own computer).
So, in your "only hope for a happy ending" scenario, how do the artists get paid? Or will we no longer need them after AI runs everything ;)
What did you pay the author of the books and papers published that you used as sources in your own work? Do you pay those authors each time someone buys or reads your work? At most you pay $0-$15 for a book anyway.
In regards to free advertising when your source material is used... if your material is a good source and someone asks say ChatGPT, shouldn't your work be mentioned if someone asks for a book or paper and you have written something useful for it? Assuming it doesn't hallucinate.