Video demo via MobileSyrup
We have seen many big names in the WP7 marketplace so far and Netflix has joined them. I guess we will have close to 2000 Apps when WP7 hits US launch next week. Netflix allows you to watch thousands of movies and TV shows streamed from Netflix to other devices such as TV, Mobile Phones, etc through Netflix subscription. Today Netflix announced in their blog that
Netflix members in both the U.S. and Canada also now have the ability to instantly watch TV shows and movies on their Windows Phone 7 handsets. The application is available in the Marketplace Video Store and is free.
Note : Netflix client for Android devices is not yet released. 
Source: Netflix blog