It's a good question and the answer is mixed. Some of the problem has been directly bootlegging games in other markets like China, so stealing the code and assets outright. That's definitely a copyright violation most places, I would assume it is in China too, but the point is moot without Valve's backing because no indie is going to conduct a lawsuit in a foreign country.

A clean room knockoff isn't but I don't think the cases would necessarily even be brought or won. There's a lot of quick buck artists who see gaming as a soft target. Success is in convincing them there's risk involved rather than actually winning in court or extracting settlements.

That will still leave a lot of AI game development people feel is slop. That's probably the reality going forward. But reducing that to the people who are interested in making games (even if we are unhappy with their results) and removing the people who are revolving through the latest AI get rich quick schemes is probably achievable.