Ad supported also competes with entirely free, by having more resources for development and, go figure, more marketing/ad dollars to promote their services else

Ad supported also competes with entirely free, by having more resources for development and, go figure, more marketing/ad dollars to promote their services elsewhere and gain usershare, for cases in which everyone-is-using-it matters—so, social media and messaging. Paid services aren't the only things that can/would replace spyvertising-funded services.