"apple is refusing to support flash in favor of html5"

I would argue Apple is not allowing Flash because it has the speed and graphics ability to compete with native apps (which Apple are monetizing).

Apple are ambivalent to HTML5 - on the one hand it improves the browser experience, but on they other they have been slow to expose the location, accelerometer and touch functionality to the browser.

http://blog.wolfire.com/2010/01/Web-applications-on-the-iPad