I'm not even sure if I'd call it a loss leader, solely based on "making it up" in hardware margins. I think you could show that by having much larger %'s of it

I'm not even sure if I'd call it a loss leader, solely based on "making it up" in hardware margins. I think you could show that by having much larger %'s of its user base being up to date and adopting new releases faster, that it cuts costs in other areas and makes it a more attractive platform. Just spitballing here, but less users on old versions should reduce support costs, create a better user experience for more of its users, and entice developers to take advantage of new features, which may further differentiate the platform from competitors. I'd have to think that creates more long-term value for the company than making $30 bucks per license. And that's not even calculating the customer goodwill by making the updates free.