Unreal Engine, one of the world's most popular 3D engines that powers some of the best AAA titles such as Gears of War and Mass Effects now works in Flash 11. Epic Games today announced that Unreal Engine 3 now works in Adobe Flash, demoing a Flash-based version of Unreal Tournament 3. What this means, is porting existing Unreal Engine 3-based games would definitely be an option.
Of course, the Flash-based version of Unreal Engine 3 is not as powerful as the non-browser-based engine, but its still a very "real" 3D experience. On top of this, developers will be able to migrate their games from say, iOS over to a browser-based environment without much hassle, making it possible to sell browser-based games that play the same games as apps on mobile devices.
What is more exciting, is every game on Facebook runs on Flash, and now Flash can run hardware-accelerated 3D, just like Real Games.