>They paid for the books after getting caught, the other companies are paying for the copyrighted training materials

Are they paying reasonable compensation? Say like with streaming services, movie theatres, radio and tv stations. As a whole their model is much close to those than individuals buying books, cds or dvds...

You might even consider Theatrical License or Public Performance License. Paid even if you have memorized a thing...

LLMs are just bad technology that require massive amount of inputs so the authors cannot be compensated enough for it. And I fully believe they should be. And lot more than single copy of their work under entirely ill-fitting first-sale doctrine does.