It looks like Adobe is building the "product in the middle" that Steve Jobs is looking for. Let's hope Apple cooperates by adding the Flash Player to Safari on the iPhone.
So here it is: playerversion.com.
In my predictions for 2008, I talked about how we will be seeing more RIAs in 2008 -- both from Adobe and third parties -- how Silverlight is not going to have a widespread impact (although is definitely something to keep an eye on for 2009/10 and the competition is going to give Adobe a welcome push in the right direction), how mobile Flash is going to move away from Flash Lite to full-scale Flash playback on devices and how we're going to see Flash on the iPhone, how sometimes-connected applications and web/desktop hybrid applications are going to gain importance with AIR, Google Gears, etc., and how real-time 3D in Flash is going to change the aesthetics of the web.
In a relatively short timeframe, Adobe acquired an online word processor, created a cool color tool, released a free document sharing tool and announced online versions of Photoshop and Premiere.
Now you might think that this is simply Adobe's latest attempt to grow the company by entering waters previously traversed by the likes of Google and Yahoo! But I feel that there's more to it. Specifically, there is one important advantage that having popular web applications will give Adobe: a new avenue for increasing the rate of Flash Player penetration.
The key security issue I see with Flash applications, especially those that deal with sensitive information, is that the user has no way of knowing whether or not the application is communicating their sensitive data over a secure connection.