Hey Guys,
I like this conversation, and I would like to intervene as I've been testing both products, vTiger and Sugar.
Let me tell you my view of the situation:
1. Historicaly, SugarCRM makes an extraordinary nice effort to release an initial version of OS CRM.
2. vTiger sees the software, and they happily decide to work on it and add new features.
3. Then SugarCRM raises funds from venture investors, and suddenly, they have a master that needs profitability for the capital invested.
4. SugarCRM quits almost all resources from OS developement (that is something admited by them), and dedicates completely to the 'closed' products of their family.
5. Meanwhile, vTiger continues faitful to their principles, releasing all the new code in OS flavour.
6. At the end, looking at the product, SugarCRM OS becomes a 'demo' of the real product, with lack of security and lots of bugs on it (believe me, bugs the size of Texas).
7. SugarCRM sees vTiger a menace for their business, because they are giving for free a similar thing that Sugar wants to be paid for (the Pro version).

Some conclussions:
- Living out of OS Software in a capitalist world is difficult.
- May be is easier to live out of the service in India for the vTiger boys (where the cost of living is lower) than in California, where the Sugar boys live.
- Both options are valid. But in my opinion, it is more inmoral what the sugar guys are doing (using SugarCRM OS as a fishhook to push the people to the Pro version) than what the tiger guys do (using someone's OS code to improve it and leave as OS again).

Well, thats all my thoughs for now.
Jose