I'm very late with this piece of news, I know, but in case you haven't heard both Adobe and Wowza have released updates to their respective Media Server technologies. I must admit that one of these updates appears more significant than the other as Wowza have pushed out a major new version with Wowza Media Server 2.0.

Before I outline the details of that though let me first point you to the newest updater for FMS, bringing it to version 3.5.3. As always you can grab the file right here.
This version of FMS is essentially a service pack which includes bug fixes and performance improvements for DVR, Dynamic Streaming and playback. It even includes security fixes to correct some critical vulnerabilities.
The FLVCheck tool also saw an update, and Flash Media Server 3.5.3 now has full support for the smart buffer management controls introduced in Adobe Flash Player 10.1. These controls include support for seeking within the buffer, stepping through a video, slow and fast playback in the buffer as well as re-establishing a connection without interrupting the stream. You can find more details about the buffer enhancements in the Flash Player 10.1 ActionScript 3 API documentation that's now available on Labs.

The team at Wowza has been very busy too and released a massive update to their Wowza Media Server, updating the platform to what they describe as a Unified Media server. Unified because Wowza can now stream not only to Flash clients but also supports iPhone, Silverlight and even IPTV clients. Not too shabby!
In terms of transport mechanisms this means Wowza now supports Adobe's RTMP based protocols, Apple's HTTP Streaming, Microsoft's Smooth Streaming, RTSP/RTP delivery for Apple QuickTime, mobile and other clients as well as MPEG-TS for IPTV set-top delivery. The full press release is here.

I think it is awesome to have this kind of competition in the market and the work that the relatively small team at Wowza is churning out will certainly give Adobe some food for thought, especially when it comes to interoperability with other runtimes and platforms. I think if I was in Adobe's shoes I'd reach into my pocket and make them an offer they can't refuse - before somebody else does.