Sorry if we haven't communicated about this well.
We are not actually bundling the Y! toolbar with the Flash Player. We always have the Flash player install as small and transparent as possible. 95%+ of people get it through the transparent install process. A few percent of folks choose to come to our website. On our website we make the optional offer for folks to get the Y! toolbar.
So, while we didn't make this clear enough and have to make sure we do...the story is: this is a website offer, not a bundle with the Flash Player. We are working to make this much more clear and feel pretty dumb for sending such the wrong message.
BTW, Y! is one of the top users of the Flash technologies in the world, and is doing some very cool stuff (see Yahoo Instant Messanger, and much more to come). This is a multifaceted partnership that I think will be really cool.