All I can say is that if it stays so that free sites are holding top positions, google will not hold top position for very long as the SE that everbody uses.
I would predict even two months in a row with results like that and they will lose a third to half of their traffic.
I know I would stop using them almost immediately if when I went on a search it gave me for the top results a bunch of free sites.
anybody that has been on the net for a while IMHO prefers a site that has a real domain name for an address; its just easier to believe the info that is on the page when you know that is at least cost the owner a little something to put it up there.
just my opinion.