Perhaps the part where he says businesses misleading their customers with free software will be more successful than free software. What a great business strategy, misleading your customers. Nobody has thought of that one.
I could pick it apart more but that would be cruel.
There is such things as "free" software, that so far, has done really well. The example that immediately jumps to mind is the "Free-to-play" game. You download the game for free, but you can buy stuff to enhance the game via micro-transactions.