They can call it whatever they want, but I don't think that it is illegal.
Yes, corporations take a large cut, but creative people welcomed copyright and made the bargain and got fame in the process. Which was always better for them than let Twitch take 70% and be a sharecropper.
Silicon Valley middlemen are far worse than the media and music industry.
Most mid-list authors make very little from copyright. A lot of the "authors" who make a lot of money from writing are celebs who slap their name on a ghost written work.
> Which was always better for them than let Twitch take 70% and be a sharecropper.
Copyright predates Twitch or giant corporations and was designed to protect the profits of the publishers from the start.
In this nothing changed. Authors never were and still are not the point of copyright/IP.
Or, in the case of LLMs, recklessly swing about software they don't understand while praying to find a business model.