According to sources at Gearlive it is. It’s speculated that we may even see this active around the same time as the SDK is launched. The addition of Flash to the iPhone would open up many doors for both web and native applications. Unfortunately this isn’t solid information yet, so don’t get your hopes up to high. We’ve heard time and time again that necessary and useful features would be popping up and have been disappointed. Considering that the most recent firmware was set the stage for native applications to work with the iPhone SDK, it would be surprising to see them issue another firmware upgrade when their focus is clearly on getting software development going.

It’s interesting to see that Apple put all that effort into circumventing Flash at the initial release by having Youtube reformat their videos to tailor to the iPhone. I completely understand why Youtube went through with it, but on Apple’s part it was really just a stall for time. Perhaps the launch of the SDK will truly be the moment when the iPhone’s full potential is recognized. Right now, my Asus eee pc is far more useful business wise than my iPhone. But if these features actually come through, my life will be that much easier without have to search for a WiFi hotspot.