Yes, using existing works as reference is obviously something that real human artists do all the time, there’s no arguing that is the case. That’s how people learn to create art to begin with.
But, the fact is, generative AI is not creative, nor does it understand what creativity is, nor will it ever. Because all it is doing is performing complex data statistical analysis algorithms to generate a matrix of pixels or a string of words.
Im sorry, but the person entering in the prompt to instruct the algorithm is also not doing anything creative either. Do you think it is art to go through a fast food drive through and place an order? That’s what people are objecting to - people calling themselves artists because they put some nonsense word salad together and then think what they get out of it is some unique thing that they feel they created and take ownership of. If not for the AI model they are using and the creative works it was trained on, they could not have created it or likely even imagined it without it.
People are actively losing their livelihoods because AI tech is being oversold and overhyped as something that it’s not. Execs are all jumping on the bandwagon and because they see AI as something that will save them a bunch of money, they are laying off people they think aren’t needed anymore. So, just try to incorporate that sentiment into your understanding of why people are also upset about AI. You may not be personally affected, but there are countless that are. In fact, over the next two years, as many as 203,000 entertainment workers in the US alone could be affected
You want to have fun creating fancy kitbashed images based off of other people’s work, go right ahead. Just don’t call it art and call yourself an artist, unless you could actually make it yourself using practical skills.
Also, good luck trying to copyright it because guess what, you can’t.