Help Ipod on ebay

[Scottie]

Can someone explain this to me is this a scam. A ipod for £3 surely not:question:

http://cgi.ebay.co.uk/ws/eBayISAPI.dll?ViewItem&category=75459&item=5799247071

[The Dogfather]

Scam! Reverse auction the lowest unique bid gets the IPOD.

[Gismo]

Not too daft an auction, what the seller does guarantee is 150 bids at £3, so, the seller gets his £150 but 149 bidders lose £3, if the 150 bids are not placed then the auction is cancelled.

The seller is quite clear in their terminology and is not breaking any rules, if you happen to win it then you've got a bargain, but, you can get this iPod for £139 direct from apple ;)