HTC EVO user Sprintusa has taken the new Netflix hi-def codecs and packed them into a modded Netflix app. The developer's goal is to bring this app to as many unsupported Android mobile devices as possible. Of course, devices already supported (like our EVOs) can handle it perfectly too.
The difference between the modded app and stock Netflix is that the former has a "superior H264 codec auto decoder, enhanced hi-def data stream detect software, works similar to a stereo decoder, [and is] more up to date." It also supports auto rotation and is available in both red and blue.
The modded app is not guaranteed to work on all ROMs, but I do know that it works with the EVO's stock ROM and I also can personally confirm that it works on Kushdeck's 2.3.4 Gingerbread ROM as well.
Now, of course, not every movie or TV show is available in HD. But be sure to let us know if you notice a difference between the stock Netflix app and this modded version.[xda-developers | downloads: red version | blue version]