Silverlight 3 available now

There's a lot more information on Scott Gu's blog: http://weblogs.asp.net/scottgu/archive/2009/07/10/silverligh...

summary: HD media, graphics acceleration from GPUs, codecs: H.264, AAC and MPEG4, IIS Media services [free] helps to steram media (like the demo link from the article above), more UI controls, deep linking with maintenance of back/foward buttons in the browser, better text rendering and font support (i wonder what new font types), more networking API stuff for WCF...

and then on the tools side, they made improvements to blend: intellisense, prototyping designers, 'behaviors', and imports from photoshop & illustrator

It's generally said that it takes until version 3 for a Microsoft product to be any good. They've done a remarkable job in reaching this magic milestone just a year and a bit after the first release.