It is an LED! It uses an infra red LED focussed through a lens to make a nice even circular beam.
Some people can see a dim cherry-red glow eminating from certain IR LEDs, usually the shorter wavelength ones.
Staring at any light source is not reccomended, but it won`t do you a lot of harm to have a brief look out of curiosity- it`s just like staring at any low power light. IR light isn`t too dangerous. UV on the other hand....
I agree, it`d be pretty nifty if they stuck a visible LED in there. Maybe someone round here with the relevant skills will one day?