While I can't say that this announcement really surprises me, I have to make one thing clear right off the top. I am not a Flash Developer - but I am indeed a Flash Supporter. When the news started hitting all the Twitter feeds and blogs this morning if a person didn't know better one would think the world was ending.
I think Adobe's Ben Forta explained it best. Perhaps the time has come for a new direction for Flash - a new challenge. When it comes to mobile browser, Flash's job is done here. Time to move on to bigger and better things! The question remains as to what this does to other Adobe products such as Flash Catalyst or Flash Builder that did aim at Mobile content. I guess we will have to wait and see. But these sure are interesting times!