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Silverlight 3 was announced

New version of Silverlight will be released in 2009.
As expected there will be implemented such interesting features like:
  1. 3D support (with hardware acceleration).
  2. New media formats support (H.264 included).
  3. Enhanced data binding.
  4. Controls update.
  5. Visual development support in Visual Studio and Visual Studio Express.

http://weblogs.asp.net/scottgu/archive/2008/11/16/update-on-silverlight-2-and-a-glimpse-of-silverlight-3.aspx

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