Interesting [1] post from Richard Leggett, who mentions that with newer technologies coming through development (e.g. Flex, AIR), smaller hardware components being manufactured (the post on IST results yesterday on [2] chips is indication of that), less focus on RAM requirements and others.
He suggests that Flash lite has a shorter-term future, that as handsets have increasing computing power, there will be less and less need to adapt something that was created for the desktop, onto a mobile device. He expects that Flash lite will be replaced by more advanced Flash versions and/or [3] AIR on a device.

Will also depend on how/what being developed with mobile client platforms. So no need to think Flashlite is no longer useful for developing aspects of mobile learning, it is still very useful, especially if you are putting Flash files on Nokia devices.