Mission Statement: "The Purpose of Project Gutenberg is to encourage the creation and distribution of electronic books." Until now, Project Gutenberg has focused mostly on the re-creation of paper books rather than the distribution of new authors and material, and we have spent as much of our time on finding books and doing copyright research as on eBook creation and distribution. This is our first attempt focused on solely on distribution rather than creation. Project Gutenberg
I'm not quite sure what writer would do this. You can make your books free at Smashwords. Theoretically, so Kobo told us, you can make your books free at Kobo. Why would you throw away your work at Gutenberg unless, of course, you are independently wealthy and writing is just a hobby? The likelihood of good books being given away in a closed system seems improbable. Crummy books, sure.
This brings us back to free. Readers are being conditioned to think books should be free. That would be great but how do writers earn a living?
If we lived in a world where everyone got their financial allotment then sure, writers could make their books free because they'd be on the government dole just like readers and doctors. And Amanda Hocking and E.L. James and Joe Konrath wouldn't make the windfalls they did because of their popularity. Everyone would be the same schmoe. Running contrary to reality, everyone would be artificially forced into being equal.
Is Amazon going to price-match Gutenberg?
I don't see the point of this at all from my side of the fence. But from the other side, yeah, I understand how in a utopian world everything should be free and I want a 1936 Bugatti.