As Zwetan said on the FCNG mailing list, flash apps will be available on IPhone. The magic is cross compiling.
You will create an application in AS3 and Flash CS5 will compiling the swf to native iphone app.
How cool…

Check those links:
http://labs.adobe.com/technologies/flashcs5/appsfor_iphone/
http://www.adobe.com/devnet/logged_in/abansod_iphone.html
http://labs.adobe.com/wiki/index.php/Applications_for_iPhone:Developer_FAQ
http://forums.adobe.com/community/labs/flashcs5/appsfor_iphone
http://onflash.org/ted/2009/10/source-to-4-flash-iphone-apps.php

Read some more at Mike Chambers Blog