I expect they think they can get a precedent here.
That's true - the case is pretty clear-cut thanks to how much damning evidence they've managed to pull out. The old trend of using AI to make offensive shit in the Pixar style likely helped as well, but that's speculation on my end.
Midjourney is also odd in that it didn’t take money from outside investors and it’s actually profitable selling monthly subscriptions. This is an AI company that is not a venture capital money bonfire, it’s an actual business.
I suspect Disney isn’t out to just shut Midjourney down. Disney’s goal is to gouge Midjourney for a settlement and a license.
In practice, I doubt Disney's gonna get to shake much out of Midjourney before they end up going under - given that gen-AI is built to facilitate plagiarism and copyright infringement, a win for Disney here would lead to a de facto ban on generative AI.
Personally, I consider training any slop-generator model to be unethical on principle. Gen-AI is built to abuse workers for corporate gain - any use or support of it is morally equivalent to being a scab.
Given plagiarism machines are designed to commit plagiarism (preferably with enough plausible deniability to claim fair use), I'm not shocked.
(Sidenote: This is just personal instinct, but I suspect fair use will be gutted as a consequence of the slop-nami.)