Though TiVo seemed like a good fit with the carrier’s broadband and Dish Networks video bundle, Windstream’s sales reps have been unsure about “when to pitch it,” Brent Whittington, Windstream’s chief financial officer, said at a UBS investor conference Tuesday. “The upfront price requirements and the ongoing monthly obligation have been an impediment to that product really being successful for us. People are very price-sensitive. You’re looking to potentially get a customer to buy broadband and pay the monthly recurring fee on that on top of TiVo’s monthly recurring fee, plus the equipment, generally with the modem.”

TiVo sets customers back just over $100 for the set-top box and $15 to $20 per month for the service, Whittington said. “It doesn’t sound like a lot, but it’s an impediment for many consumers, trust me.”

It sounds like TiVo’s pricing structure has been an problem for Windstream in pitching TiVo to their customers. And the statement about not being sure when to pitch it sounds like there is some lack of product education for the sales reps.

However, a new article in xchange Magazine makes it sound like TiVo and WindStream are working together on a new product:

While Windstream may not yet be a household name, it is quietly innovating with those that are, such as TiVo. The duo have been working on a user interface since last fall that, like TiVo’s much heralded efforts with Comcast and Cox Communications, draw heavily from the DVR maker’s software.

Windstream, however, is focusing on polishing the Internet video experience with the TiVo deal while cablecos are more focused on coming up with much better user interfaces for their digital TV services.

Working on a user interface? Drawing headily on TiVo’s software? That doesn’t sound like the description of a standard turn-key reseller arrangement. So, are they up to something more than just bundle sales of standard TiVo units? Or is this just a reporter over-reaching a bit? When announced WindStream said they planned to start marketing TiVo in the first half of 2008. If that time frame holds true I suppose we’ll find out fairly soon. Personally I think they’ll be reselling the standard TiVo boxes, perhaps with custom HME applications for any WindStream specific needs.