Hi everyone! I could not just stand by, I know Pinscreen because at the time I worked for the competing company and we also did automatic 3D avatars.
I don't really believe in these allegations, we usually tried all the Pinscreen apps and demos the first day they came out (because, obviously, we were interested in our competitor's tech). They worked pretty much as advertised. I generated a few avatars myself, and they turned out alright, including the skin texture, hair and animation. Their pipeline is based on machine learning so like every learned solution it is definitely possible to break. But it was certainly good enough for demos, entertainment apps etc.
If you don't believe a modern day AI can solve problems like this, just download one of their apps and try yourself. It's very difficult to do, but it's definitely possible!
So not every bad thing said on the internet is true. I'm pretty sure this one is fake news, apparently some guy got fired and was really upset about this to start this lawsuit.