I gave a Wii to my husband for Christmas just for this reason.
We now download movies almost every night...sometimes we still order the dvd's and blu ray movies, but the Wii works great.
The quality of the movies are great... You don't have to pay separately for the online, that service comes with your monthly payment to Netflicks. I am excited to see that Netflicks turned out to be so successful. My TCU MBA class worked on the viability of the business plan for Netflicks years ago....of course, they did not give us the name of the company.
D in Tx