Ok, but only if you also conceed that all of these AI companies were stealing to train their models in the first place.
Either everyone was stealing all along, and they should all be sued out of existence, or nobody is stealing.
Personally, I think its all fair use and support all of the training, including distilations.
Distillation is forbidden by the provider of the model.
I suppose you think that model providers are not allowed to impose restrictions on the use of their model? Think carefully before answering.