The new Silverlight release allows developers to render relatively sharp picture. See the screenshot from the controls demo done by vectorlight.net:
Its a big step forward, of course.
But the performance of almost every runtime aspect of Silverlight applications is very poor.
It is pathetic to see a demo of a Silverlight controls toolkit from some famous UI component vendor, which contains a "professional data grid" with 10 rows, because Silverlight just cant perform in acceptable way with more rows in the grid.
Microsoft still has a lot to do about Silverlight.