mac os and itunes problem!

ok, so i've been trying to connect my iphone to my itunes, but when i open itunes and connect my phone nothing happens! it says that i need to update to the itunes 10.7 or higher, and when i try to do this is says i need to update to the mac os 10.8 version, which i apparently have to pay for. im happy with the software i have at the moment, but i need to be able to keep my phone up to date with my computer. is there any way that i can get out of this or download the new mac os version for free? i think its stupid that i have to pay for something i did not want/ ask for!!!!

help?!