This seems a bit of an odd take. Matrix.org making their server freemium is up to them - charging some users to use the service (not the software) is a way of keeping the lights on. Better that than ads or selling user data. Lots of privacy focused orgs do the same - Proton, Tuta, Mailbox, Mullvad, IVPN. If people also have an issue with Element - don't use Element, use one of the other apps.
If people are this upset, its not impossible (or even that hard) to migrate to a different server - or host your own.