On top of not selling so well, even when Apple does manage to unload an Apple TV, apparently they're not doing so at the slam-bang profit margins they're accustomed to. Masters of component/cost analysis iSuppli broke down the parts of the Apple TV to estimate that Apple's pumping at least $237 into each one—and that's based on a lowball estimate.
While making 62 bucks a pop isn't exactly subsidizing them, the 20% margin before marketing costs grossly underperforms the Apple standard of 50% gross margins on products "outside its computer lineup," like iPods.
However, they jump to over 30 percent on the new 160GB model, given the marginal difference in storage costs. It's also entirely probable that Apple's worked out stellar deals on the parts—they have a cozy relationship with Intel and Steve-o's been bargain hunting components since he was a teenager.
In any case, with the iPhone around the corner (which will most likely bank 50 percent) their biggest concern will probably be finding people to count the mad loot rolling in.