Perhaps - I have no internal knowledge of Chargify's numbers beyond what they've posted publicly. Even if they have 30000 global accounts, though, and it's 0.9% out of that - makes me think twice about freemium.
No doubt. My experience in the processing world jives with what they are saying though. The biggest problems are the smallest customers, usually the ones that aren't earning you anything. Granted, keep in mind that they are focused on B2B. I think they could have handled it better, but I think they made the right call.