Because local models exist and you can't take them away.

Drugs are banned, they still exist. Many torrents flourish (that violate copyright laws), humans can't seem to stop those.

Generative AI has too much commercial utility to ever be "snatched back" at this point through legislative means.

> It's kind of a big problem for the future of the justice system and politics.

People will adapt, but this "big problem" is going nowhere.