High-end (and thus expensive) gear is not necessary by any stretch of the imagination, but it certainly does make life a lot easier sometimes! It depends entirely on the conditions. If you use a tent once a month only in the summer, anything will do. If you use a tent every day for a year, paying for a quality tent will make your life a lot more pleasant. A lot of high-end gear is like this, though there is a lot of over-priced junk available as well.
Also note that you should not underestimate the usefulness of a small lightweight tent if you ever get off pavement. It can make handling the bike a lot easier in difficult conditions.
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