People can develop software out in the open and say "use it as it is, for free!", "use it as part of a new product, for free!", but also say "please do not sell this software as it is" and "please do not make and sell an almost-identical product using this software". That seems good to me, if the other option is closed-source.
E.g. I could make a product, you can use it for free, I will try to make money selling consulting services around the product (you can compete with me on that!) just don't sell the software.
I am happy to be corrected if there is a problem with these licenses being misused (or misrepresented as free and open source), but the post didn't give any examples.