This will just force AI jobs to go outside America or any jurisdiction that imposes unenforceable, draconian enforcement on generative AI
Countries without such oppressive laws will ultimately end up being able to generate faster amounts of synthetic data which will give them an edge.
This will impact researchers who will also move to institutions that can't be lobbied by zealous copyright laws.
All in all, the government and copyright laws should not belong in generative AI but only market forces.
For artists complaining about their style or work being used without their permission, they forget that their entire industry is rife with "liberal inspirations" including their own that they have "stolen" subconsciously and consciously