You're right, copyright won't fix it, copyright will just enable large companies to activate more of their work extract more from the creative space.
But who will benefit the most from AI? The artists seem to be getting screwed right now, and I'm pretty sure that Hasbro and Disney will love to cut costs and lay off artists as soon as this blows over.
Technology is capital, and in a capitalist system, that goes to benefit the holders of that capital. No matter how you cut it, laborers including artists are the ones who will get screwed.