PERHAPS you can argue given a boring problem (e.g. Linux usability for grandma) and getting people to work on it takes money. But that is contingent on the arrangement of society, it isn't a universal principle or anything.
As for Ubuntu -- um, as a newly converted FreeBSD user, I think there appeared a free usable system a long time ago...
Seems like everything hinges on caching and timestamping and digital signing (again, not my ideas). Such handwaving might help solve the scalability problem; how we solve privacy, I don't know -- seems like once a profile has been read, there is nothing to prevent that reader from caching and propagating it however they please. It could be unsigned, but I am sure a thief wouldn't wait to confirm that someone's account password was signed...
Anyway, this is cool, ... I hope someone works on it for me ;)