Not the convenient “sits happily in your library being ignored” kind of free though…more the “takes up a tiny amount of space on your hard drive and gets forgotten” type of free
I think this is the “Add to your library and be free forever” kind. I think that it just is only free for 2 weeks after launch.
@harith, Steam never counts something that is listed as “Free” in the store as a +1 in your counts. As @orbus already pointed out, once the game goes on sale, it should count as one.