... To the surprise of absolutely nobody

Actually I have a question and I admit knowing nothing of the legal framework here but...

Isn't it absolutely ridiculous that a not-for-profit entity can exists solely for the purpose of developing a closed-source piece of software, demand to train it for free off copyrighted material, just to switch to a for-profit entity??

Sound 100% like tax avoidance. Like me registering a charity so I can throw a mega concert/party privately, secure preferencial treatment on supplies, get discounts on artists or even free performance and then switch to for profit as I start selling tickets