Ebay chips=junk, waste of time/money, snake oil, gimmick, pos. Am I missiing anything? Yeah, just like Hellspawn said. Its a resistor to modify the signal from the IAT to simulate a cold air condition. YOu may see a little more punch because the computer compensates for cold air by adding more fuel as well as more timing advance. Cold air is denser (more oxygen molecules in a given amount of air) and to keep the proper a/f ratio more fuel would be needed. However, more than likely a trouble code will be set because other conditions will point to the IAT as being faulty. Things like the O2 sensors showing a rich condition and the CTS showing the coolant temp is hot. And I believe there is also an ambient temperature sensor that monitors outside temps. So those 3 inputs will all be contradictory to what the IAT is showing.
I too have a K&N drop in and am considering building a less restrictive intake. I was at autozone the other day and they have a kit from Spectre for $40 that has a 3" diameter tube about 18" long with about a 45 degree angle on it and one coupler. I did some measuing this weekend and I thing that if I cut it into 2 pieces and getting one more coupler, I can fit it between the stock box and the throttle body. As soon as I can free up some loot I'm on it.