This really isn't an all or nothing sort of situation. Many of the AI players have a proven record of simply not following existing norms. Until there is a consumer oriented player who is not presuming that training on my private data and ideas is permitted it only makes sense to do some stuff things locally. Beyond that many of the companies providing AI have either weird limits or limitations that interrupt me. I just know as an individual or a fledgling company I am simply not big enough to fight some of these players and win, and the compliance around companies running AI transparently is too new for me to rely on so the rules of engagement are all over the place. Also don't forget in a few years when the dust settles that company with that policy you like is highly likely to be consumed by a company who may not share the same ethics but your data is still held by them.

Why take a chance?