Did he need it to prove a business viable if there were already players in the market? No. Do you ever need to validate that people would switch providers of a commodity product or service if presented with a cheaper option? Also no. What did he learn then, that he can create a partial solution that people might pay for initially (no data on renewals) but will ultimately have to actually hire people to build a real product which will eat at his differentiator (price). Wait until he decides he actually has to spend money on marketing.

The good news is that with each of these we get to "validate" that having an idea still isn't worth much without the ability to actually execute.