This has been my point all along. So many entrepreneur and small business websites were created using Flash for even simple navigation for "pretty" results which require Flash for navigation. If Flash was just about animated simple graphics and navigational links designed to make sites look better, Apple would have been on board with Adobe a long time ago.
Since Flash also means free video content that competes with Apple's iTunes store, and Free Web Apps that compete with Apple's App Store, Flash is a threat to Apple's business model. Therefore, Jobs blames it on crap software, but the results show that html5 and h.264 offer almost zero benefit over Flash when Adobe has access to APIs to make Flash great, as on Windows.
It's easy for a few publishing companies to change their content, but the web is full of sites comprised of Flash that will not be viewable or "surfable" by the iPad for many years. I believe Apple gets away without Flash on the iPhone because it's a phone. I don't think people will be happy when they realize their $500 to $830 iPad will not even surf the web, as the iPad is being sold as a web device first and foremost. I suspect a lot of problems when people realize that these other sites have no plans to add non-Flash based sites. In addition, all of these iPad buyers will have to BUY every bit of content that they could get for free via ad-based sites like hulu.com.
I don't believe Apple is going to get away with just saying html5 and h.264 is the answer, when it's multiple years off from providing widescale usage and integration into the web. Flash is an "accepted" standard now whether Apple likes it or not. A year ago, 98% of all web connected devices could run Flash, and I consider that a "standard."
