You're still thinking with a user head If you're a developer and you offer a paid app, you do NOT want a Free app with an identical purpose listed at the same place. In your scenario (if Extras keeps it's repository) it's the commercial vendors who draw the short straw - they have to pay through the nose and deal with the wreckage Ovi is, just to be listed next to an app offered for free and pray that it's bad enough so that users come back and buy their app. And as for Nokia (the Ovi division, to be more precise), it's the same problem. They are not getting any money if you DO choose the Free alternative. That's why Apple simply says 'you can be free to the users but not to US', and that's why there is so few Free apps there (compared to commercial ones).
And that is exactly why I created Appwatch.