Yep. I'm not sure if it's available outside of the U.S or not though.
Are you using the RTM of Windows 7?
If you're not seeing it next to the movie library on the left under Movies, then go to Tasks-Settings-General-Automatic Download Options-Download Now, and it should be there after you download any updates.
http://www.sevenforums.com/news/34893-internet-tv-netflix-comes-windows-7-media-center.html