The Skyfire browser actually embeds Apple’s Safari Mobile browser (this is probably how they plan to get around Apple’s policies) and adds some extra features of its own besides just Flash videos. Adaptive streaming technology also makes an appearance in Skyfire and it adjusts itself to network connection strength “every 5 seconds” accordingly for smooth playback. In the video demonstration of Skyfire in action, everything actually ran smoother than Adobe Flash does on some computers still in use.

However, as far as I understand, only Flash videos will be supported. For playing Flash games, apps and such, iOS users are still going to be out of luck. Of course, Apple just might kick this app to the curb and keep it off of the iTunes App Store, but hey, Opera’s browser has made a showing on iOS so lets keep our fingers crossed.

Here is a video of Skyfire in action on the iPhone:

Impressed? I certainly hope Apple approves this, because lets be honest here. HTML5 still has a ways to go before it will be widely adopted. In the meantime, iOS users are stuck out of the loop for the vast majority of online streaming videos. Let me know what you think of Skyfire and whether or not Apple is going to approve the app.