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I never knew how many people loved Flash until Apple came out with the iPad.
JK. I think the people upset about the lack of Flash fall into three categories:
1. People who really want Flash.
2. Developers who want to use Flash, and don’t want to transition.
3. People who are looking for something to complain about on the device.
I use browser add ons to block all the wonderful Flash advertisements. I really miss those flashing green and red vibrating ads and the flash ads that expand and cover content if you accidentally mouse over them. Not to mention the talking Flash ads that congratulate me for being the 1 millionth person to see the ad.
On your point with the Flash being used to make an end around, possibly true, but my biggest problem with Flash is that 99% of all Flash content is annoying advertisements or a 10 megabyte intro file to a web site that loads then follows with some crappy animation of a bunch of still photographs sliding across another photograph and then the web site title dropping in one letter at a time like an amateur Power Point transition.
Security issues with Flash also are quite common. It will not stay in the sandbox.

but my biggest problem with Flash is that 99% of all Flash content is annoying advertisements

Huh?
I use Flash for practically all my videos on the internet, including the essential viewing sports clips from NBA.com, Fox Sports, MLB.com, as well as Youtube and practically all my favorite old TV series like the Lone Ranger, Bart Masterson, The Twilight Zone,Alfred Hitchcock Hour, The Flintstones, Bewitched etc and all these classic TV series that I really love in addition to all the movies I watch online. I need Flash. Why would anyone give up Flash just so he can use some Apple feminine hygiene product with no USB port, which is less useful than any Toshiba laptop which only costs $350 and has Flash, a webcam, USB ports, as well as a keyboard, a great 15.4 screen, and runs the over a million Windows 7 applications?
These Flash pop ads you are going on about..there is something called pop-up blockers, and most sites I visit don't play any welcoming video unless I click on the videos to play it. There is no way 99% of my or anyone’s Flash videos are ads. But hey, don't let me stop ya from spinning Steve Job's propaganda will ya?