OK, I'll bite. As someone who runs a SaaS product (http://gimlet.us, in case you care), I can assure you that we're not trying to nickel-and-dime our customers. We're trying to provide useful software at a reasonable price — nothing more, nothing less.
I've run a very similar open-source project, and found that by far, the most frequent question from people was "how do I get this running?" I talked to many people who wanted to try it, only to find that their IT department was an obstacle. One person told me — no lie — that their IT staff would charge $26,000 to install a small PHP/MySQL app.
Offering our software as a hosted service means we can provide it to nontechnical users without needing the help or approval of their sysadmins. It means that deploying patches is relatively straightforward, and that installers and packaging are things we just don't need to worry about. Instead, we can spend our (limited!) development time making our app better.
Will we, at some point, offer our code "for sale" as an installable, locally-run product? Almost certainly. However, the demand hasn't been there so far, so our efforts have been focused elsewhere.
Yes, there are some real concerns about putting your data up in someone else's cloud. But the idea that we're offering our app as a service to fleece people is simply not accurate.