I don't think we see what goes on behind the scenes here, and I do not claim to know everything either.
I am thinking from the battery standpoint. David wanted to provide the customers with batteries so that they would not be required to go to the local store and pay 5+ dollars per battery potentially (yes, I know you can get them online for cheaper, and possibly cheaper in the store, but when I have looked locally, they always seem to be at least 5 dollars). David went through the trouble of getting CR2 batteries manufactured under his own label.
I have no idea how much it costs to manufacture batteries, or license someone to manufacture batteries, and no idea of the minimum quantity you have to order, but I assume it is a fairly hefty investment.
The way I see it, David has done this to be able to provide as best he can to his customers, in the best way he knows how. I believe he has also done this so that he knows he will be able to at least rotate through his supply of CR2 batteries that he had to purchase for the lights up front, and that the batteries will not sit on his shelves for years. There are always multiple reasons for something, and I am not naive enough to think it was only for one reason.
This makes sense given what David wants to do for the CPF community, and still stay in business.
Honestly, I feel that if David hadn't set the expectations already with all the other titanium lights, and had priced all of them well over 100$, when this CR2 came along at 99$ and free batteries, we would all be lauding his praise. Unfortunately, he has tried to make all of his Titanium lights as affordable to us as possible, and so when this one goes against our expectations, we turn very quickly, apparently.
I don't plan on purchasing the light anytime soon. I had CR2 lights in the past, and now prefer CR123 variations (more power, only slightly larger, I even carry a 123-2 Turbo in my pocket and don't mind the size). I have purchased a number of lights from David over the years, and I will continue to purchase lights from him. I believe he is honestly trying to do good by CPF, as well as trying to stay in business during an economic recession.