Adobe has in a blog post stated that Flash Player 10.1 will add support for a broad range of mobile devices, including smartphones, netbooks and other Internet-connected devices.
This will allow the users content to reach your customers wherever they are. Target mobile operating systems for Flash Player include: Android, Microsoft Windows Phone 7, Palm webOS, and Symbian S60 V5.
The consistent Flash Player browser-based runtime is the most productive way to deliver content to users across operating systems and devices.
Runtime consistency reduces the cost of creating, testing and deploying content across different device, software, network and user contexts and helps improve business results.
Thus, although Microsoft has denied Windows Phone 7 operating system version 1 will support Adobe Flash, this blog post at Adobe Blogs, shows that Adobe Flash is all set to support Windows Phone 7.