This is just one action in a coming conflict. It will be interesting to see how this shakes out. Does the record industry win and digital likenesses become outlawed, even taboo? Or does voice, appearance etc just become another sets of rights that musicians will have to negotiate during a record deal?
Saying that Stable Diffusion was trained by “individuals” is a bit of a stretch, it cost over half a million dollars worth of compute to train it, and Stability AI is still a company in the end of the day. If that still counts as trained by individuals, then so does Midjourney and Dalle
Original stable diffusion wasn’t trained by individuals, but clearly the current progression of the software is largely community driven. All sorts of new tech and add-ons for it, huge volumes of community trained checkpoints and Lora’s, and of course the interfaces themselves like automatic1111 and vladmatic.
And it’s something you can run yourself offline with a halfway decent graphics card.