Yes, that's right, and it was started up and run for some time by someone who said this just prior to launch:
On the other hand, if you comply with FinCEN and ignore the cultural expectations then your token will start out life a pariah and have low initial value. If you completely open source your software then clones can pop up to compete against you.
Emphasis mine.
Not pointing out the fact that the clones could end up being better, no, just 'compete against you'. I would welcome competition if I thought I genuinely was better at it. It's all about the captive audience.