Perhaps the biggest worry of free are startups. To begin with, how do you compete with free? Suppose someone has
a great idea for improving web mail. Entering the market is really difficult. A lot of inertia is now behind Google and in the new world of freeconomics, you can no longer compete on price. Not that long ago the
concept of better and cheaper allowed startups to make the bet. But now that cheaper has been replaced with free,
that axis is shut out.