Surely that's a design/development flaw. The problem with Flash is that its too accessible to have-a-go coders, who can produce rubbish. Flash/AS3, like anything else, should be done properly or not at all.
Posts by Fartin Fantastic
7 publicly visible posts • joined 1 Apr 2010
Adobe's revenge on Steve Jobs: HTML5
Rainbow Islands
PlayBook stock mountain: RIM slashes prices
Overpriced
I got one of these for free, back when they were giving them away to developers who made apps before their app store opened. Its actually a pretty decent device, but I'd never pay the current asking price for it. Maybe half this price would be fair, especially considering the low cost of the pending Kindle Flame.
Adobe declares 'LOVE' for Apple
Jobsian Vendetta - Flash stabbed by Mac the Knife
Money
But even if I were to compile my app from Flash, I would still have to buy my dev licence and submit my app for inspection by the iStore. Jobs still gets his 30%.
There are two issues here which people sometimes get mixed up
1. Apple doesn't like you running Flash files on the iPhone. ie .swf's.... Like you would on your desktop/laptop browser. Fair enough, he might lose out on some cash.
2. Apple doesn't like you writing a Flash app, and compiling it to run on the iPhone. For which he gives a couple of lame excuses.
Two similar but different issues.