ADOBE says that it will have a fully functional Flash 10 ready for smartphones in 2010.
However it will not be ready for the super-developed Jobs' Mob iPhone although it will be seen in Windows Mobile, Google's Android, Nokia S60/Symbian, and the new Palm operating systems.
Adobe is still not saying why Apple is the odd one out. Since Flash exists on most websites it is hard to see why Apple is dragging its feet as more content is likely to be unusable on the iPhone. µ
L'Inq
CNET
I'd suspect it is because strictly speaking, the Flash player is a virtual machine, and therefore it conflicts with the iPhone SDK license. That's the same reason there is no Java runtime for the iPhone.
Sadly, this isn't the only article about this that screws it up by leaving other important information out..
For one thing, the Blackberry won't be getting it either. In fact, Adobe has said that the Blackberry is much further behind in development than is the iPhone version.
In addition, there is that quote from an article on the new Win Mobile 6.5 and a new phone:
" In the demo I saw, Flash was very sluggish, potentially backing up Apple’s contention that Flash is too inefficient for small phone processors."
http://bits.blogs.nytimes.com/2009/02/16/a-look-at-the-new-windows-mobile/
This article is written by a well known Win Mobile advocate, so the article is interesting for what he says both for and against.