The answer is always “soon”.
Flash 10.2 for Android was released today. Sean Hollister:
With our trusty Droid 2â€™s 1Ghz OMAP3 chip, we saw a slight but noticeable boost in framerate when playing a YouTube trailer at 480p, which admittedly only took took that particular video from â€œunwatchableâ€ to merely â€œfairly jerky.â€
I don’t think it’s far reaching to say that for most people fairly jerky is unwatchable.
With the Tegra 2-toting Motorola Xoom, however, 480p videos ran perfectly smooth, even as the tablet had trouble rendering 720p content as anything but a series of images.
A series of images? Isn’t Motorola touting the wide aspect ratio of the Xoom, 720p playback, and Flash capability?