I cant seem to find any info on this other than:
Internet Explorer Embedded – Integrated Flash 10.1 in browser powers playback of Flash content and Flash content can be run full-screen without browser UI.
But what about AIR API’s etc?
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From the packages description, it seems to me that only Flash Player ActiveX control for Internet Explorer is available. You can still integrate this control in an out-of-browser application, but the extra API for “Air mode” will not be available.