I am extremely skeptical that there is no financial incentive to being first-to-market and building a reputation as an innovator, even at a "higher level", especially when these incentives are completely overshadowed by the ones created by IP. I don't believe all financial incentive disappears just because you eliminate the ability to rent-seek through a state-backed monopoly.

The problem here is that people also love to defend the current system, while actively prohibiting alternatives from ever taking root.