> It's categorically

The fraud part and using stolen accounts or credit cards or blatantly violating the terms and conditions (i.e. reselling subscriptions not using outputs in certain ways somebody might not like) is indeed categorically different.

Using uncopyrightable outputs of an AI model obtained legitimately to train your model is not inherently interlinked with any of those things. I don’t really see how the model being proprietary or “open” is particularly relevant when talking about the outputs.

Even using the word “distilling” in this case is deceptive and biased. It implies that the Chinese are somehow stealing Anthropic’s models or their weights and somehow directly transforming them into new models. That’s certainly not what’s happening in any direct sense.

e.g. what if I agreed to send all my Claude code session files to Deepseek or whoever? There would be nothing wrong about that since I and not Anthropic own those files and can do whatever I want with them. Using certain different ways to obtain them of course could be highly illegal.