Yeah, it's a grey area I suppose. Because it's locked to a particular network, the phone is of little use to the general population for anything other than its intended purpose. Maybe it costs $20 to manufacture and distribute a dumbphone. I guess the carrier can gamble on offering it for free to get asses in the seats?

In general, however, the phones are freely purchasable with no commitment. You don't even have to activate them before walking out of the store.