I agree that it's a red herring in the "future of Flash" argument, but it's still a significant hurdle. The value of any existing Flash content that requires keybaord or mouse hover interactions is diminished almost to the point that you might as well not have it.

That's not to say that future Flash content won't be built with touchscreen interfaces in mind.

Yeah, the feeling of playing a game in a web browser on a mobile device (regardless of whether it's Flash or HTML5 or whatever) is usually poor enough if it's even doable that I wonder whether there'll ever be much mobile gaming through web browsers.