It seems the new IE 7 has some embed problems..
As a result of the company’s multimillion dollar patent dispute with Chicago firm Eolas Technologies, Inc, the new IE patch –released Feb. 28th—means that
Internet Explorer won’t be able to directly interact with Microsoft ActiveX controls loaded by the APPLET, EMBED, or OBJECT elements without first activating the user interface with an extra mouse click.
Full article here
and here are fixes:
Microsoft's fix
Kirupa's fix (Flash)
Macromedia/Adobe's fix (Flash)
Apple's fix (Quicktime)
here is the thread where i got this information from and where people discuss it's effects and other things..
link
I personally don't see anything very bad about this.. it just requires you to give flash sites an extra click. just thought i'd give you guys a heads up.
IE 7 latest Beta it's looking quite nice.. i really like the quick tabs tool.
have a nice day