Why do people insist on bringing up the flash issue? 
It is a defunct technology that is being taken over by HTML5 which iOS devices support. Most major websites including YouTube are already converting there content. Why also would you need a basic web browser? It's not what it's designed for. My TV and PS3 have web browsers. But I don't use them. I use my iPad or Mac for that.
Yes it has limitations compared to some other devices out there, some of which cost less. But for something that just works out of the box, gives the ability to stream music, videos and pictures to your TV from a Mac, iPad or iPhone and access to a growing catalogue of VOD from a variety of vendors (granted the price of some is high) Then I think it's a very good piece of technology.
Why people seem to compare its functions to a PC/Laptop is beyond me. But Haters be hating 
Because its the only straw left to clutch....
Not that at all, it's because without Flash you can only see a limited amount of what is actually on youtube. This makes having youtube as a feature/app whatever rather pointless, as you have to use a computer to do a full and thorough search.
A perfect example: last night I looked for a 12" mix of a song to put on my fb profile page and found it without much looking. Look again for the same video on an iThing and it doesn't show up.
Anyhoo, it has now been replaced with a Blu-ray player I was given and is tucked safely away in the man drawer with the toasted sandwich maker and the chocolate fondue...
