New buzzword? No, it's a library. The AFLAX library helps web developers take advantage of Flash's rich vector drawing capabilities in their JavaScript/DHTML applications without writing a single line of ActionScript code or ever opening up the Flash IDE. The demos are pretty impressive! This library utilises the new ExternalInterface API in Flash 8 (so it doesn't work on Linux yet). AFLAX is written by Paul Colton, the founder of Xamlon (check out their product if you haven't).
And HTML rendering in Flash sucks, right? Well, that's because it's not a web browser :) But there's another interesting technique for marrying Flash and HTML: if you want to embed true HTML rendering into Flash, look no further than Christophe Coenraets's famous IFrame technique. If I were to be writing a blog reader in Flash or Flex, for example, I would use an HTML IFrame (instead of using a Flash TextField) to render the actual blog content. DHTML rocks!