I think what your parent is saying (at least how I read it) is in the context of comparing it to boxed software. I buy MS Word 1995 for $100. Then they release added value and box it up as MS Word 1998 for $100. Then they release added value and box it up as MS Word 2000 for $100.
Now we pay $10/mo. If you average it out, it's not too different than just paying for the added value as it grows.
And worse, if I cancel I don't keep to keep using it without the added value. So I'm painted in a corner. It's objectively worse in that sense.