What's wrong with paid hosting? For the people who do pay for software (essentially commercial entities), the management and support are as important (if not more) than the software itself.
The code being open-source is actually a great advantage because it alleviates concerns around lock-in and vendor going under (If e.g. AWS's RDS is for some reason no longer available to us, I can still run Postgresql myself, at least until I find an alternative).
Oh nothing wrong. I'm just on a fact-finding mission on seeing whether any other companies have successfully followed the consulting/support contract model vs paid hosting or open core (because this has rather significant repercussions on what kind of products lend themselves well to a given business model, e.g. a desktop app is not going to work well for paid hosting).