Google has updated their recent Flash announcement and it includes more information about SWFObject.

http://googlewebmastercentral.blogspot.com/2008/06/improved-flash-indexing.html

I've posted additional details on my blog:
http://www.beussery.com/blog/index.php/2008/07/google-learns-to-crawl-swfobject/

The fact is now AJAX and those pretty javascript effects are becoming popular (jquery, scriptaculous, etc), and you can achieve similar effects with them... So what's the deal?
Oh, and also there is silverlight, the **** copy of flash by microsoft. It's currently not supported, is it?

I wouldn't go so far as to say AJAX is being indexed by Google's new Flash algorithm. Even if it did technically, I think AJAX might fall in the "external text content" category and as a result it wouldn't be associated with it's parent URL for indexing purposes. That said, I'm not aware of any official word on this issue other than: http://googlewebmastercentral.blogspot.com/2007/11/spiders-view-of-web-20.html

As far as Silverlight, I'm not sure Microsoft is willing to share necessary information with Google like Adobe has... I'm not sure live.com indexes Silverlight :) ?

Either way here is what "JohnMu" said when asked about SilverLight during the last chat:
"Q: Is Google able to index Silverlight websites
A (John Mueller): I would recommend viewing the pages with a text-browser like Lynx to see what is visible."

http://groups.google.es/group/Google_Webmaster_Help/web/q-a-from-the-junetune-live-chat

is it dejavu. I thought they did it few weeks back!

Priyadarsan, Google had Flash support for a long time. Recently, they announced even more Flash support (http://blogoscoped.com/archive/2008-07-01-n88.html). What this post is about is the news that they now announced SWFObject support in particular.