I uninstalled Textra over this change.
It's not because I'm cheap. I don't mind paying for apps. It's not because I don't like the app - generally I think it's pretty good. Here's my issue: I don't like the business practice of advertising an app as simple and free, then making it more and more complicated and then nagging the user for money to continue to support development.
People on this thread have been confusing two issues - the impact of spending $1 (which, let's face it - is nothing), and supporting a business model that sees the users as ATMs. Imagine if you allowed this kind of business practice with other things in your life. You probably use a free browser right now. What if tomorrow it starting showing extra ads unless you paid $1. You'd switch instantly. What if your car suddenly started showing ads on its satellite navigation system unless you paid $1. You'd sue the manufacturer. What if the gas station pump wouldn't start unless you watched an ad first or paid an extra $1 - you'd go somewhere else.
It's entirely different from adding a new feature and charging for it. This is taking an existing feature (heavily promoted - FREE NO ADS!!!) and _TAKING IT AWAY_ unless you pay up. The free market will ultimately decide this. People who don't mind being charged extra for stuff they already have won't see a problem with it. But for me, it's behavior I won't support. The dollar means nothing to me. But I didn't install a subscription SMS app. I installed a free, no ads app. I will either buy a no ads app that is ADVERTISED as a paid no ads app, or I will switch to a free no ads app. But an app that is advertised as free, promoted as free, that is something I will not pay for.
All the dev would need to do is stop development on Textra and make another, paid Textra Pro that received all the updates. Heck make it use in-app currency for each SMS you send and replenish that currency through in-app purchases, social media endorsements, or ad views. Whatever the dev thinks will work, go for it.
Just be honest. And remember, you have competitors.