Hooray! Netflix has updated their iPad app for HD. That's what they say in the update... but it's just the buttons! Boo! the video is still in low resolution, not Full HD, so there will be no difference in the new iPad.
Which is weird, because Netflix streams in 1080p to Roku and Xbox 360. There's no reason not to send 1080p video to the iPad and its 2048x1536 pixel display. Netflix said they plan to do it, but wouldn't say when.