I'm not terribly concerned about Flash Video performance. There are better ways to deliver video on mobile devices, including dedicated apps (e.g., YouTube app). If Adobe came out and said, mobile phone processors simply aren't fast enough to support made-for-computer Flash Video content, I'd be okay with that.
What I do want though, is support for Flash web site elements. Menus, displays, that sort of thing. Heck, some entire web sites are designed in Flash. I don't need to watch ESPN, I need to be able to access web sites as I would on my computer - and without Flash, my droid is lacking in that department. So if Adobe can focus on getting the Flash elements working right on the mobile side, I will be pleased, even if Video performance isn't up to par.
For some reason, people seem to think Flash = Video -- and that's just not the case. Also this article suggests it's Adobe's fault a lot of games don't support touch, and Jobs says the same thing. Hello, Flash is like anything else - if the developer doesn't design it to support touch, it's not going to. Hardly Adobe's fault.