You're right, Flash on iPhone doesn't make sense. specifically it doesn't make cents for Apple. Apple explicitly forbids electronic distribution of content in

You're right, Flash on iPhone doesn't make sense. specifically it doesn't make cents for Apple. Apple explicitly forbids electronic distribution of content in apps which compete against iTunes. There will never be a Hulu or Netflix or Amazon Mp3 app. Enabling Flash on the iPhone would open the doors to allowing people to watch Hulu, Netflix, and play almost as many games they want for free. That is the main reason why iPhone and iPad will not support Flash.