One should not be forced into product decisions by namesquatters or other external behavior of that ilk. Designing, building, and supporting a new product is a big longterm investment (even if it's just a Free/Pro version).
Another work around is to create a pro app and offer in-app purchasing to upgrade to a pro version, at least your profiting from your existing user-base and they know they are not paying for this ripped off version without realising.
