I find it hard to believe any site is getting $5 CPM.
Name brand sites (NewYorkTimes.com, ESPN.com, CNN.com) are rumored to get CPM rates much higher than that. I agree, however, that Gizmodo is probably not getting those rates. In addition, publishers usually get high rates on their direct media sales, but bursts like this aren't accounted for in those budgets, so they end up placing remnant tags that get substantially lower rates.
Minus the cost of X, Y and Z
X : Paid to founder of the phone
Y : Dammage apple will claim
Z : Cost of law suite