It's a scam. They are generating profits by selling their ebooks, whatever they are. The ipaq requires you to buy an ebook for $50. When 20 other people buy "the same" ebook you get an ipaq. But the catch is, there is only one line. If the first person in line buys an ebook that no one else ever buys, then no one in line gets an ipaq.
Look at the rankings:
http://www.expo4less.com/services.htm
It doesn't appear that anyone has actually gotten anything.
It's not illegal, they claim, because they tell you that you are buying their ebooks and not paying for a spot in line. It appears the ebooks contain information they have researched on the web. So ask yourself, are you willing to pay $50 for info gathered off the web? Because odds are that's all you will get from this deal.