Why is it one or the other? Your argument is like saying we shouldn't pay nurses a fair wage because it get's in the way of great care for everyone.
It's not an either/or situation - it's how you allocate rewards for the different contributions to the new tech. Currently tech companies are saying there is zero value in that training data - that's clearly not the case.
I think I finally understand your misunderstanding - I'm not arguing AI should be banned as it destroys a musicians job because in the future all music will be AI generated. That's not my concern - I'm not saying anyone deserves a job in perpetuity.
My point is simply that in building the models they have to respect the current laws - and that means respecting the content owners rights and either paying what they ask or not using it.