The Xbox 360 will be getting an update that will allow users who also have a Netflix account to stream movies and TV shows to their televisions through the Xbox 360.

Users with a Gold Xbox Live account will also be able to share your Netflix movies with friends via your Xbox Live party so you can watch a movie/TV show all together.

I’m not sure if this is going to hurt sales of the Netflix Roku player but I would assume that a lot of the people who would buy the Roku player probably already have an Xbox 360. I know I wouldn’t buy a Roku player now, but then again I don’t really want to buy an Xbox 360 either, I would much rather have a PS3 for the Blu-ray and backwards compatibility (if I spring for the $500 version) (I’ve owned a PS2 for a few years and have a number of games for it that I wouldn’t want to get rid of and getting rid of the PS2 would be nice).

So there you all go, the update is set to be released this Fall and hopefully Netflix will spend that time increasing the number of “Watch it Now” movies.

Gizmodo