Adobe Flash and other Adobe products are mostly developed in India. But the number of hardcore Actionscript developers in India is very small.

I dont really know if the Indian R&D facility of Microsoft contributes to .Net development , but one thing i know is that, practically every Indian computer engineer use .NET

This is where SilverLight matters. Microsoft's development tools are already very popular among some of the most brilliant [and cost effective], software engineers in the world.Imagine all the kind of applications these developers can churn out. If this happens, there will be a choice of applications for endusers to play around with on SilverLight .In such a scenario, users will be forced to install Silverlight , and SilverLight could get popular easily.

Basically Microsoft could leverage on all these developers, and bring in a real competition to Adobe Flash.

If the above said situation doesnt happen,Silverlight will probably die.

Me, for some reason, is not going to try SilverLight anytime soon.