True and I agree yet the target market of free hosting isn't webmasters but simply folks that want to check out web site owning or developing before committing to pay money for it. Lots of the free host providers offer paid hosting with great level of service. In that sense you "catch them while they are young" and then grow with your user as they grow while supporting their needs.
I totally agree with that but there are still some webmasters who want to make the best profits ever and save web hosting costs to count them as profits instead.
Indeed. But would you have done so when you started off and when you just wanted to "test the web sites stuff". I mean - people who start off and just want to host a blog or a small site to see what's it all about. You get a playground for free. Sure - webmasters will pay for quality BW and stability but what about the "simple folks"?