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Why don't people realize that 'high software profit margins' are fugazi?

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If software is that easy, you should start a software company.

Hmm... Is it unethical to release software for free? I was just thinking- my first thought after reading 4 is: "if software was that easy... I wouldn't be starting a software company, I'd be releasing it for free or by donation."

This goes against my intuitions, but- in an economic sense, releasing OSS that serves the purpose of a paid product is subsidizing the undercutting of that product and reducing programmer salaries right? Which could potentially stifle innovation.

Ideologically I want software to be free, but this thread has made me consider that releasing software for free could have negative effects on the ecosystem.