More details here
This version WAE 2.0 probably won't be free either.
Whats the Microsoft line on using these kind of enhancements.
If (when) SP2 comes out is it likely to wipe these dialogs and break a bunch of implementations?
The WAE v2.0 will be installed in the folder other than IIS_CMS. Even if the service pack will break the enhancements we will release service pack for WAE v2.0 as soon as possible. Users will be also able to enable/disable WAE v2.0 for each web site using new configuration application.
It is most likely that features available in the current version (Hyperlink dialog and Console) will be free in WAE v2.0.