Are they separate? Or is it the same concern but from opposite view points?
Both worried about IP leaking but one side is worried about their IP leaking and the other worried about liability if they inadvertently implement any leaked IP. Either way, the concern is leaked IP.
Yes, if I ask something like "Can you describe microsoft's internal security processes and the names of upcoming products" the output would be original and not covered by copyright, but it would be sensitive internal information and covered by NDAs. But any code publicly posted and available to be scraped will not have such sensitive info in it.
I don’t think GitHub Co-pilot can respond to prompts like that. I thought it was ostensibly sophisticated source code completion. If so, source code is absolutely covered under copyright.