I've been trialling Netflix and finding it very good. IQ is excellent and it never falters. As for FF and RW, I play the content and watch it. Very little need for FF and RW. But even that works. I can skip forwards in 10 second chunks to jump past opening credits, and rewind. I get thumbnail previews.
You can switch off the console and then fire up Netflix and it'll resume where you left off. You can also resume on any other device as your bookmark is attached to your account. I can switch to PC and carry on watching should I want to. Netflix is a very good service in terms of playback IMO. The UI and finding content is a bit crap, and the range of content is also rather sparse such that I'm not sure I'll find it worth a subscription. It was the same with LoveFilm's library, and that's the biggest issue for me regards subscription services. Direct rentals offer a better library at significantly more cost.
Not sure about other countries, in US they have been adding subtitled Korean movies and TV series. They are pretty good. I watch one everyday while working. ;-)