Last night I hooked up my old computer to our 42 inch HD LCD. This old computer has and AthlonXP 2600+ processor, 1GB DDR, and an nVidia 6200 series AGP 8x video card with Windows XP Pro. It also has wireless Ethernet.
I went to Netflix.com and chose the watch it now option. After installing WMP 11, then resetting the DRM components, and finally installing a license for the movie (15 minutes total), I was able to watch a couple of movies, LEGALLY streamed from Netflix.
WOW! Incredible quality! Looked like an HD DVD. I was expecting the usual Youtube garbage quality, but this was clear, no blocking, no stuttering, no freezing. With the AC97 on-board sound hooked up to our surround sound entertainment center I was able to enjoy Dolby 5.1 surround. Just incredible.
I personally think this is the way of the future. No more buying DVDs, just monthly subscriptions and instant viewing.
The best part? Your movie collection is always there, and takes up no space.