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I really don't know what you're friend was referring to, but as the others said, free apps are free. Period.
But, also if you buy an app, all updates to it are free too. HOWEVER, for some reason, the Android Market will always say "authorizing credit card" when downloading updates, which understandably, leads many users to think they are being charged for updates. However, this is not true -- once you buy an app on the Android Market, all updates are free and you will not be charged, despite the "authorizing" message.
Best of luck,
Steve
), but that's good to know for future reference. Kudos! 