Keep in mind that while these order number, like their referral IDs are consecutive, all of their sites, including their old point based sites are tied into the same system so a lot of these numbers were assigned to orders/users from the point sites.

Also, if you figure the average cost to ship each product, across all of their sites is around $275 (assuming most are iPods, including s/h, subtracting the small volume discount from Apple) this would mean that 500,000 * $275 = $137,500,000.

Now if you go by what Inc. Magazine said they made over the last couple of years: $20mil in 2004, $15mil in 2003 and assume they made maybe $30mil at most in 2005 that gives you about $65mil in total income. So there is no way they have actually shipped 500,000 referral based orders, even if you assume an average order cost of half what I said before, they would still not make enough to buy the items much less cover operating costs.

Over analyzed, yes, but just wanted to keep things in perspective.

Also keep in mind that people like me make orders then cancel then make cancel etc. I think i had about 5 orders of freeipods!