Interesting! I like a lot of this.
What's your definition of unconscious/subconscious? Is what you call unconscious or subconscious experience in #7 the state you need to be in to experience the fact that the ego is not real? I experienced #1 in meditation, but wouldn't call that state unconscious. This may amount to arguing over words though.
I'm not sure about the part on free will. It's possible that preferences aren't real in the way we think they are, but that we still make some decisions.
Good question. My analogy wasn't perfect, but here's what I was alluding to: The programming (which we cannot see/read) is always in control. It makes all decisions. The decisions it makes spring into our consciousness, seemingly up from nowhere, as thoughts/drives/impulses/actions/aversions/etc. So, we don't actually experience the unconscious or subconscious, just it's output. And then we often attribute the unknown source to something like one's "muse" or one's "God".