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Crippleware, often called a demo version, is a software distribution model where the distributed program contains features which will only be made available if you pay for them. This can be minor, like eliminating the more exotic features that the average user wouldn't need, but often times crippleware locks you out of key features like the ability to save your project or the ability to use the program more that five minutes a day. Traditionally, software that used this distribution model would simply give you all of the locked features for a single flat rate, but modern versions of this model use a micro-transaction system require you to buy each of the features you want individually. In video games, crippleware games usually allow the user to play an extremely difficult version of the game for free, but they can purchase power-ups with money to make the game easier.

Like with nagware or adware, I don't have an ethical problem with crippleware when the developers are up-front about the fact that the program is crippled. What I don't like is when they advertise it as freeware only to have the user discover the program isn't really usable until they pay for it.