It's a copy/paste of the arguments against open source software from decades ago. The argument goes: innovation requires profit motive, and profit motive requires IP rights. Of course, this was soundly disproven in software and I don't see any reason it should be different here.
The difference might be the immense cost of physical infrastructure needed for AI training. People would make open source contributions for free, TSMC, NVIDIA and power companies seems less likely to make free contributions to AI.
