Many vendors provide free versions of their web conferencing solutions. Often the functionality is only slightly less than that of a paid account and sufficient for a large number of users.
This model seems to be no longer working as recent developments on the online collaboration market have shown. Yugma, as we already pointed out in an earlier post, provides the bit that is left of its services from India. And Dimdim can hardly have been profitable if Salesforce.com’s first action after the acquisition is to stop the service for all free and paying customers.
Providing web conferencing services means large investments in infrastructure, and if too many of your users can live with the functionalities of the free versions, you really need to have a large number of paying customers to cover the deficit.