The US Copyright Office has said that AI output from human prompting is not copyrightable. There are caveats, but iterating on prompts results in output that's

The US Copyright Office has said that AI output from human prompting is not copyrightable. There are caveats, but iterating on prompts results in output that's nobody's IP. Because it's nobody's IP, Microsoft is already in a position where they could just use, remix and/or distribute that output however they want to today.