Recently I tested streaming a movie to Justin.TV via wirecast and this worked very well indeed, the quality was as good as watching it local and it played without breaking up, lagging or anything like that. There is a few issues with using Wirecast though, the first is the fact it can only play certain file types (mostly MP4) and second, you have to babysit the process to swap movies. After some searching, I came across JTVLC - this can stream content from VLC which in turn can use a playlist.
Posts tagged vlc
Streaming Movies to Justin.TV via VLC
VLC 1.1.0 adds hardware-accelerated playback

Ready for HD
- GPU decoding on Windows Vista and 7, using DxVA2 for H.264, VC-1 and MPEG-2
- GPU decoding on GNU/Linux, using VAAPI for H.264, VC-1 and MPEG-2
- DSP decoding using OpenMax IL, for compatible embedded devices
- Improved support for MKV HD, including seeking fixes, and 7.1 channels codecs
- Support for new codecs, like Blu-Ray subtitles, MPEG-4 lossless and VP8

