You might be inclined to believe that this is some kind of viral hoax, but yes, the host had to go to the hospital, and the network had to issue a statement about it. And this happens with this trick constantly. Here's a link to famous sleight-of-hand magician Cris Korn injuring himself doing it. Here's Byron the Magician doing it live on Bolivian TV. Here's a guy from Germany doing, you guessed it, the exact same thing. Each time, the same horrific results.
The spiked bag/cup is supposed to be marked in some subtle way, but apparently it's really easy to screw that part up. Magician Kyle Wallace even posted x-rays from the hospital of his nail-impaled hand after he botched it and here's a message board of magicians sharing similar stories about this stupidly irresponsible trick and pleading for everyone to please, for the love of god, stop doing it.