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Realistically it would benefit them more to use the data and lie about it than it would be to not use it. There are currently zero repercussions in this industry regarding stealing someone else's work. In-fact, the core premise of LLMs is training off stolen data.

Good point. But isn't that the easiest and best way for a frontier lab to gain access to extremely high-quality data? And how could one prove that the data was used? (Besides, who could even afford such a lawsuit?)

The issue there is that we know they aren't trustworthy because they stole all of the training data. The damage will have already been done by the time they disclose, if they disclose, and for that to happen, most of the time, you would have to be colluding with your competition to learn about it!

First it is TOS. Then dark patterns. Then outright lies.

To be honest, I don't think that competition really works in this area. Well at least not regarding this dimension. The only real distinction between frontier labs seems to be cost of inference. Privacy, environmental impact, collab with agencies etc. seem to bother nobody.