I wanted to generate some images using AI, and wanted to find out which ones were completely free to use for commercial purposes. Various such tools obviously had all kinds of tools to customise the image, but for a trial, I tried a simple prompt only.
Disclaimer: These were based on a cursory survey. Please double check the terms of use and any other conditions imposed by all the websites. I am not liable for any errors.
Prompt used
"A comic strip of a hero named izak who suffered chronic eye strain and recovered and is now trying to save the world from the evil villains who trap children and adults with eye strain, spectacles, eye tests, lasik and eye drops by making them addicted to games, TV, smartphones and by making them work long hours in office in front of computers."
Note: the word "trap" was earlier "enslave", but Blogger's keyword filters blocked this from being published and then I had to appeal for a review and then it got published. I've faced similar irritating keyword filter issues with some websites where I tried generating images, which shows an unfortunate reality that even websites that use generative AI, are not using generative AI to evaluate prompts.
Copyrights issue
The copyright for using AI-generated images is a complex legal issue that has not been fully resolved in many jurisdictions. In general, the copyright for an AI-generated image is likely to be owned by the person or organization that created the underlying AI algorithm or data set that was used to generate the image. However, if the AI algorithm was trained on copyrighted images or other materials, then there may be copyright issues related to the use of the AI-generated image. Perhaps projects like H20AI may be free of copyright issues.
The websites below are randomly ordered.
Openart.ai has image to prompt too. Their style palettes are amazing. They have a 7 day free trial with 40 credits. The generated images can be used commercially with credit being mentioned. You can fine tune the model with a model type and uploaded images. They also have various apps for facial expression changes, changing parts of images in various ways, changing styles of objects in images and more. It didn't understand that I wanted a comic strip in Pixar style.

It did a poor job of understanding my prompt of "change the spectacles to rimless" which I did after selecting the inpaint area tool. With better prompts I guess things might be better.
I think this is supposed to be free forever. The image generated was not bad at all, though it didn't understand that I wanted a comic strip. It didn't even need me to login to generate this. They also have an AI video generator and chat. As per the terms of use, the generated images are free of copyright and can be used commercially.
This was the first one that created a proper comic strip, but the words were gibberish and the spectacles on the characters was weird. The free plan allows 10 credits per day. Images created through Stable Diffusion Online are fully open source, explicitly falling under the CC0 1.0 Universal Public Domain Dedication. They even have a Prompt Database. It added a watermark though at the bottom right.
They allow 15 free images every 3 hours and images can be used commercially. Rather than being for general image creation, they allow Logos, Art, Stickers, Wallpapers, Posters, T-shirts, Monograms, E-book Covers, Cards, Invites, Patterns, Mockups, Memes and more. It did a decent job.

I liked Freepik. It's a Spanish company whose website is well thought through and intuitive to use. They have a host of tools to use, like retouching, background removal, re-imagining, mockup generator, image editor, upscaling, video generation and more. They have various free limits for stock images, AI tools (20 images per day for generating images), and more limits for other tools. You can use AI-generated images for personal or professional purposes, including commercial projects, provided they comply with applicable laws and respect third-party rights, such as identity, creative ownership, trademarks, and intellectual property. However, it is your responsibility to ensure the images do not infringe any third-party rights and comply with the applicable regulations. Their terms of use are here.
They have website which takes long to load any page initially, but the free plan has 10 credits, where each credit generates 4 images. The results were pretty good. They do not claim any ownership rights in your User Input or User Output, and they do not restrict your ability to use User Output for your own purposes (including for commercial purposes). Ideogram seems to be built by a good team.

They give 5 free credits daily and generated images can be used commercially. They had a reasonably good website too. It allows uploading more photos to train it to a certain style. The generated image was too basic though, and didn't form a cartoon strip.

They give 100 free credits per month. Generated images can be used commercially. They created a nice process where you can create characters using a prompt, create a scene with another prompt, create a background with another prompt and then there's a pose editing tool to adjust the pose of the character. But when the character didn't conform to the pose I created, I realized that such tools have a long way to go before being usable.

Generate images on your own computer for free
Generate images with your code and HuggingFace's servers
Other text to image generators with limitations
Did
a poor job with generating the cartoon hand and the "I" in Izak. There
were plenty of other errors in the image. They offered only one free credit. Didn't like it.
At
least this LLM understood that it was supposed to generate a comic
strip. Here you can use Flux.1 by allowing experimentation for free, but they retain the copyright. They also have a table comparing Flux1, midjourney, Dall-E and SD3-ultra.

With
an extra "f" in the name, this offers free image generation and seemed
to understand that a comic was required. This is generated on a UK
server and didn't mention anything about commercial use, so I assume it
does not allow commercial use.

They
provide 150 tokens free everyday, but I found it extremely irritating
to use because when I typed the prompt, it showed "Error. Phrase
blocked". It didn't even show me what phrase was blocked. I tried
altering the prompt using the prompt generator and it still didn't work.
The engineers working here seemed careless. I promptly deleted my
account.
Subscriptions start at $10 per month, so no free generations.
Dall E
This
can be tried in ChatGPT itself, but even this did not generate the
image because it apparently didn't align with their content policy.
Another dumb implementation of security.
Has only a free trial, but no free credits, so didn't try it.
This website produces amazingly detailed images and videos, but has no free plan.
They give 100 free credits free per month, but no commercial usage rights for the free plan.
They give 100 credits, 5 per day, and no commercial usage rights for the free plan.
Provides
25 credits and does not claim ownership of generated content, but says
nothing about commercial use, which means it cannot be used
commercially. They did a somewhat good job of generating a comic, but
all with superman instead of a unique superhero.

Canva's dream lab was so far the best. They offer 25 free generations in total and it can be used commercially, but under their terms. So not really a great option for free image generation.

Has only paid plans.
Has
only 5 free credits and very few controls, but good generation
capability, although it didn't understand I wanted a comic strip.
They
have a surprisingly high number of free credits. Without signing up
itself there are 5 credits. With a signup, there are 250 free credits
per month. They advertise themselves as being among the most cost
effective AI website and offer more tools for chat, searching the web,
etc. Nothing was mentioned about commercial usage of the free images.

They needed an app install on the phone and the free generation was only for limited time, so skipped this.
This appeared to mainly be for photo editing, and had only a free trial, so skipped it.
This seemed fine tuned for anime images only, so skipped it.
This
was a poorly constructed website with good controls for AI generation.
The image generation seems free, but they seem to have restrictions on copyright.

They
seem to be particular about copyright, so didn't proceed. This service
seems particular about being able to generate art in the style you
specify.
Was
not to happy with the website and the generation. They initially showed
10 free credits and then with the generation of the first image, it
said "You've reached the end".

They don't have a free plan.
This
turned out to be for free (for the time being) video generation, but it
comes with a watermark even though people are allowed to use the videos
commercially.
They
offer 1000 free credits for 3 days for video generation. They have
image to video and text to video. Once a generation began there didn't
seem to be any way to cancel it, which I found silly. The website layout
was also poorly thought through. It's for non commercial use only. It generated a 1280x720 sized video of 5 second length which was 6.1MB in size. Poor job on video compression.
A
poorly generated cartoon, but in a good comic strip fashion. Generation
is free, but for commercial use you need to pay. Seemed ameteurish.

Has
25 free credits per month and generations can use for commercial
purposes, but their poorly engineered keyword checks didn't allow my
prompt.
HuggingFace
As weird as the name sounds, they do have some good options for running LLM's.
This page allows generation of images, but has some of those useless keyword checks which didn't allow my prompt to go through.