Unless this gets 40+ mpg, I don't know if gasoline prices will set the demand enough to dictate whether or not the MSRP is fair. While we don't have official figures, a lot of estimates are putting this car at being a mid- to high-30 mpg car, which is good but certainly not amazing.
Personally I was really considering one of these, but considering the fact that it's a bit more expensive than some other options targeting the same market while being within arm's reach of other cars that might be more practical while still being similarly frugal, I don't know if I'd buy one of these at this price. I'd rather just keep DDing my Evo.
It is a fair price, slightly more than I expected but it's reasonable. For what your getting, the features, design, and fuel economy the Scion iQ will pay for it's self with all the money you will save on gas.