Not building an application store because they "don't believe people need 1000 apps on their TV"
Instead they want to provide a dozen or 2 more polished applications.
My initial reaction to that is:
A) People don't 'NEED' tv, tivo, or apps. It's something they (potentially) WANT.
B) It's short-sighted. What if the content they want isn't provided by a TiVo app, but is provided by a Roku channel or AppleTV app(assuming ATV gets third party apps at some point). Roku seems to be growing nicely on a platform of an open sdk with many third-party apps.
For the record, I've been advocating that TiVo provide an 'app store' since before Apple opened theirs. I'm ok with a semi-walled garden approach where apps are reviewed for quality and such, but come on, if someone does develop a great app, help them find an audience by giving users some kind of app discovery mechanism