The picture quality is excellent. If you would have used it more than 2 minutes you would have noticed that Netflix starts out with bad quality and within a few moments clears up. The reason is so the show can start quickly before adapting to your connection quality.
I own both but we tend to use Roku most. We've found it to be the most reliable and it has vastly more content
Well it just wasn't Netflix. In fact I tried the roku3 on both my plasma and lcd TVs and the outcome was the same. Plus the netflix interface is just not as good as the ATV. Very satisfied with ATV over Roku