The good news for iPhone and iPod Touch owners is that Adobe has started development of a Flash player suitable for use on iPhone and iPod Touch. It was recently announced by Shantanu Narayen, CEO of Adobe Systems and Technologies.

It is good to know that after almost an year of release of the iPhone, someone has finally given consideration to this. Narayen explained that the release of the new iPhone SDK has made it possible to provide necessary tools that are required to create a touch-handset version of the popular Flash media player.

Back in the first week of this month, Steve Jobs announced at the Apple Shareholder meeting that Flash for the iPhone will not be seeing the world soon. That announcement and the one made by Narayen today suggest that Flash for iPhone is a controversial subject for both the companies.

It is expected that Flash for the iPhone will make through into the next firmware release of iPhone i.e. iPhone 2.0. However Apple requires that all third-party software be released as standalone applications rather than as plug-ins which, in the case of Adobe Flash, is kind of a big no-no.