This is a lot of framing to make it look better for OpenAI. Blaming everyone and rushed technology instead of them. They did have these guardrails. Seems they even did their job and flagged him hundreds of times. But why don't they enforce their TOS? They chose not to do it. Once I breach my contracts and don't pay, or upload music to youtube, THEY terminate my contract with them. It's their rules, and their obligation to enforce them.
I mean why did they even invest in developing those guardrails and mechanisms to detect abuse, if they then choose to ignore them? This makes almost no sense. Either save that money and have no guardrails, or make use of them?!