It seems that finally Silverlight will be a worthy competitor to Flash.
From Webmonkey:
The new beta shows off new hardware integration, interactive controls and the ability to download Silverlight applications to your desktop. Silverlight 3 takes advantage of the latest in hardware. Most notably, it supports multitouch devices — the kind you’ll find mostly on Macs right now. The multimedia software also takes advantage of hardware (GPU) acceleration and 3-D visuals.
SIlverlight 3 has been released:
http://www.microsoft.com/SILVERLIGHT/overview/top-features/all-features.aspx