Our friends at Joystiq have obtained screenshots showing off Hulu Plus in action on the console, as well as a shot of the Kinect Hub with Hulu and Netflix apps included. According to their tipster the Hulu (which looks similar to Zune Video as predicted) and Avatar Kinect apps are "fully functional," with good tracking of their movements similar to existing uses for the peripheral. there's no word on whether or not members of the larger public preview will get an early peek at these features, but you can still hit the source link below for a better look.
Update: The folks over at OmniTechNews have a hands-on video of Hulu Plus. Check it out after the break.