Well it turns out not to be all that hard after all.
I followed the recommend manual printer install for XP and it works fine. The key is the Queue name. TrendNet tech support gave me the wrong information on this name. Tech support said it would start with a “PS-“ some number and end with “-1”. I was guessing on this number because there is no hint on where to find it. I could not find the information in the XP install because the port the install wizard creates is not configurable hence I could not view it.
I found an older TrendNet FAQ pdf that called for the Queue name to be simply lp1 for the parallel port, lp2 for the first USB port and lp3 for the third USB port on the print server.
Now Windows 7, TrendNet TE100-p2u1p and HP PSC950xi print very well together.
I would think that a TCP/IP print server would not care what computer OS you are using. Despite what OS the install wizard is designed for. The printer driver is loaded on the computer so it knows the protocol to talk to the printer, the OS just directs this to the port (lpt, USB, Com or IP) you tell it to. The print server is receiving standard TCP/IP, pulling out the print information, converting it to USB or parallel and directing it to the proper queue that the printer is connected to. The print server does not care what the print information is, it just passes on to the printer to figure out. The trick is to be able to tell your OS the proper print server queue name so the print server knows where to send. This information may not be readily available.
At least that is my simplified understanding of how it may work.
Steps:
Add local printer
Create new port. Standard TCP/IP
Add IP address
Custom port
Protocol LPR
Queue Name (lower case) LP1 or LP2 or LP3 depending on what port you are sending to.
Finish with installing printer driver.