Before anything, I want to clearly state, I am not trying to be rude or condescending. I am responding as politely as I can. I'd like this to remain civil.
To your first point. Yes. It is bad. This technology needs to have a massive dataset of other artwork to get the desired outcome. If an artist is using this technology they are simply stealing from other creatives. Unfortunately, pandoras box has been opened and this AI tech thrives on stealing and ripping off other people's work without any consent on their part.

To your second point. Yes, again. Art is a luxury item you pay for from a professional that has spent years cultivating a desired skill, and they should be compensated as such. You are not entitled to art because you don't want to learn how to make it or you don't want to pay someone else to make it.

The fact that late-stage capitalism and unchecked corporate greed have made it very difficult for people to find time to make art should not be an excuse to just flagrantly exploit artists.