If you observe at the top of the linked youtube video you can see it says "www.theviralfactory.com".
I found their youtube channel via archive.org click on "Work" and the "youtube". The video stream won't work, but there is a link to The Viral Factory channel. On there you can find their copy of the linked video.
Quoting the description:
> This was the first clip we ever made, to launch our company. We received 300 emails telling us we were sick bastards for blowing up some poor dudes head. We didn't, it's fake in case you're still wondering.