$0.99 v9m (w/ contract) too good to be true?

My wife's current Cingular contract is up and we are looking to move her to Sprint because that's what I've got through work. She wants to keep her existing number.

I like what I've heard about the new v9m. Sprint is selling the phone w/ contract for 249.99. Amazon is selling it w/ contract for $99.99. Numerous sellers, all with very high positive feedback, are selling the v9m for $0.99.

All of the sellers seem to have the same conditions: you have to purchase a contract, and you have to be a new Sprint customer. It is somewhat confusing whether or not I can transfer an existing number.

Anybody else bought a phone w/ contract through eBay? Is this too good to be true? I'd normally dismiss this as a scam, but it's hard to ignore the overwhelmingly positive feedback.

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I Bought a phone on ebay, 99 cents, but it was only 50 dollars in the store. That looks to be too big of a discount... Don't take the chance