Flash is a huge success on the web. It’s been like that for a long time now.
While Flash Lite has been very successful in Japan for many years (and I think simply because DoCoMo decided it would be the default on all devices), it has struggled in the rest of the world.
In the last couple of years Nokia, Sony Ericsson and other top vendors have more or less quietly implemented SVG Tiny (a subset of SVG for mobile devices). From my perspective it seemed like SVG would take over Flash (Lite) in the mobile space, but it looks Adobe is moving to make sure this does not happen.
A few news that I’ve read in the last couple of weeks, all within just a few days: