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That is not even taking into consideration that shipping your weights to the client is akin to giving your product away.

Wait, how is that fundamentally different from shipping binary code? Isn't that also akin to "giving your product away"?

You can easily pirate an ML model, host it and provide a backend service that uses it, and no one would suspect anything.

I don't think you can pirate e.g. the Facebook app binary and make it your own.