> that is a huge change in the value proposition of the product.
It is, but one that is already calculated at time of purchase. You'd pay a lot more if there were strict guarantees that it would never display ads.
The Belarus tractor company learned that lesson. Once upon a time they tried to infiltrate western agriculture with, under the backing of the USSR, heavily subsidized products offered on the cheap. But farmers saw through the thin veneer and realized that they wouldn't be able to get parts for the machines down the road. As such, the much cheaper price wasn't a winner. Farmers were willing to pay significantly more to American companies, knowing that they would provide not just on day one but also long into the future. The economic lesson learned was that the marketplace doesn't value just initial purchase price, but the full value proposition over its entire lifetime.
Many people are willing to gamble, of course, especially for "disposable" things.
It is, but one that is already calculated at time of purchase. You'd pay a lot more if there were strict guarantees that it would never display ads.
The Belarus tractor company learned that lesson. Once upon a time they tried to infiltrate western agriculture with, under the backing of the USSR, heavily subsidized products offered on the cheap. But farmers saw through the thin veneer and realized that they wouldn't be able to get parts for the machines down the road. As such, the much cheaper price wasn't a winner. Farmers were willing to pay significantly more to American companies, knowing that they would provide not just on day one but also long into the future. The economic lesson learned was that the marketplace doesn't value just initial purchase price, but the full value proposition over its entire lifetime.
Many people are willing to gamble, of course, especially for "disposable" things.