For us it means we don't watch TV, and we sometimes watch DVDs Or tv series on the computer. In parenting, we say we're tv-free because tv is not in our parenting toolbox, not something we ever seek to expose the kid to. He does sometimes watch YouTube things with us (though once his dad realized he was using that to distract him every week when I went to class, he stopped, and it's very rare again), or catch a bit of a show we were watching after he wakes up from a nap.
But the big thing is that, whatever one does or doesn't watch otherwise, simply not having tv on regularly sets us apart in numerous ways from those who do. I regularly miss references to commercials ("Did you see that one where... Oh, I guess not"), I never have any idea what movies are in the theatre, I could only name a few of the tv shows in primetime right now... And I'm happier for it. I'm not bombarded constantly with images of the way I "should" look, I'm not being encouraged to lust over the newsy must-have whatever, my kid avoids exposure to so much racist and sexist and consumerist imagery... That's what makes someone "tv-free" in my book, whether or not they own a tv set, whether or not they get netflix, whether or not they browse Hulu.