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I'm sure PS3+Netflix users will appreciate better support... but I don't think it's going to trump the Kinect support on the Xbox 360. There is something spectacularly awesome about saying, "Xbox pause", nonchalantly as I get up to go to get a snack/drink/etc and, "Xbox play", as I'm sitting back down. It's just immensely satisfying.
This new update is lame! It worked awesome before. Now it won't really play anything, and when it does, it stops a gajillion times throughout. I really wish we could just go back to before the update. HATE HATE HATE it.