1. Offer open-source 100% free product that's absolutely ground breaking, unlike anything else.
2. Get a shitload of users and free PR machine gets rolling. Network effects kick in.
3. Go to investors with your active user count in excess of millions.
4. Investors go bonkers and their eyes swell up with all the ways they can exploit these addicted-to-free user base.
5. Company has trouble monetizing the users. Users are pissed.
6. We all wonder why they couldn't make billions.
It just happened to Elastic search a couple of months ago when Amazon swiped the rug from under them. Good. This should be a lesson to all the companies that want to follow this pattern. Without Step 1, Docker would have had a much more difficult time to get traction and would have to compete on a level ground. So, they short circuit this competition by going full 100% free product route.
I have zero empathy for these companies and their investors.