Unmentioned in the fluff article: Since flash cookies are set in a user-global location, they are the same live across all browsers. As an added bonus, they completely defeat "private browsing" everywhere I've tried it.
I've made the "#SharedObjects" directory read-only.
Since then I've been using flash without any problems - the only noticeable effect is that I have to reset the volume on youtube videos each time I play a video.
you are correct. chrome does store flash cookies even when in incognito mode. i logged out of pandora in chrome, started up IE, noticed that i was logged out of pandora, then started up chrome in incognito mode, logged into panodra, then started up IE and noticed that i was now logged in to pandora.
Play this (addicting) game in Firefox - http://www.ferryhalim.com/orisinal/g3/bells.htm. It will record your high score. Open Chrome in incognito mode, die quickly, and see that it has kept your high score from Firefox.
Ok I'm back, after 'experimenting' with that flash game for the last 19 hours I can report that the music does get a bit annoying after hour 13 or so. Also Incognito mode doesn't stop the flash bugs.