FUD ...
Hardware = $ and you have to make at least 31,000 of them as it stands with $5 Million -- Which also have to throw in the controller into this
Shipping/Distribution = Money, I work for a huge corporation that gets bid on carriers/logistics which means discounts from common carriers and distribution centers ... Even the rate for shipping a 7 lb package with our deal... Shipping 30,000 really starts to dwindle down the original 5million - Hardware ..
Marketing - That's a lot of money there, which is necessary for
Developer support from the start : Developers are a little hesitant to go back through their games they already provide to support Ouya's goal. They're apps are based on touchpads and input on tablets or phones on the go. Is 30,000 units enough to get developer's to take on this work when they can work on apps for a much larger user base? Does it pay off for them
Manufacturing : We're talking about the casing, controllers, packaging -- Everything ..
Employees : If the employees in the video are real, even if they aren't ... After all of that you still have to pay the people who designed, programmed, tested , and they're not doing it for charity I'm sure which also brings about
QA costs
All of this takes a LOT more than 5million for 34,000 users at start ...
For a comparison it took $500 million for Microsoft just to launch KINECT, much larger for Xbox 360 , So all in all at this point is from from FUD with the concerns of having enough money for all of the things listed above.
And in the end, if it somehow magically works out, then the price will likely be <$99 given the fact that technology doesn't stop in the android realm with much more accomplished companies with easier manufacturing setup already in place.