The poles are segmented and held together by shock cord, like regular tent poles. There are two versions, the carbon fiber poles, which are lighter but much more expensive (3.6 ounces for a pair, total cost $60), and the aluminum versions, which are heavier but cheaper (6 ounces for a pair, total cost $28).
There are currently three models of the Lunar Duo available. The $310 version of the Lunar Duo is the new 2012 silnylon model, which features a few minor improvements over the older silnylon version which is now on sale in the Bargain Bin for $260. The inexpensive Outfitter model is a polyurethane coated fabric rather than silnylon, which is why it's both heavier and cheaper.
And, as Ben mentioned, the Lunar Duo isn't a freestanding tent. Most people don't find that to be a must-have feature, but of course that depends on what sort of surfaces you pitch your tent on. Bear in mind there are ways of making a non-freestanding tent pitchable on most hard surfaces; it just takes some know-how (and a bit of work). And in general, you still want to stake freestanding tents for safety's sake. But if you really need a freestanding tent, then the Lunar Duo won't work for you.