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I was taken aback too when I read that (his implication that "free"="cheap"), but (in my opinion) there is some truth to it.

If I pay for a product, I will use it to the fullest bang of my buck (example: we go around our house making sure we fill up our trash can on trash day). If I get a product for free, the engagement level, my interest, my commitment...it's not on par (example: trying an app in the app store that's free and deleting it because there's a bug, not wanting for a new release).



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