I wonder just how many ipods they figure to give away. It's going to burn out on its own for lack of referrals.

Some sloppy guesswork.
households 25% of 300M = 75M
connected households 50% = 37M
interest in having an ipod 20% = 7M
heard about the program 10% = 700k
people who will put up with the nonsense 10% = 70k
those who will curry 5 referrals 1% = 700 ipods
700*$250*60%(they won't pay retail)= $105000
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Glenn