If you do something else, the result may be something else. The line is drawn by the application of subjective common sense by the judge, just as it is every time.
Even if LLMs were actual human-level AI (they are not - by far), a small bunch of rich people could use them to make enormous amounts of money without putting in the enormous amounts of work humans would have to.
All the while "training" (= precomputing transformations which among other things make plagiarism detection difficult) on work which took enormous amounts of human labor without compensating those workers.