All the details here http://ps3.ign.com/articles/103/1038848p1.html looks like you will need a blu-ray disc that netflix will send you if you request it at this address (must have a netflix account) http://www.netflix.com/NRDInfo/PS3 8)
Yes, some people applaud and enjoy the fact that companies are beginning to provide their services in a manner which is readily available and not an complete ripoff. Many people downloaded music merely because they only liked one or two songs and didn't like the idea of buying a whole CD for it. Then things like Zune and iTunes came out. Now they can download just a couple songs they like, and only spend a few bucks, rather than 13 dollars for one song. By supporting the companies that take the initiative to move to a digital method of distribution, they are letting the companies know that it's a good idea.