[woot]

Yes , it can be used to build applications with those capabilities. But depends on how you implement it ..just like Java. When implemented in browser, most of the sandbox restrictions apply.[Like java applets]. But when implemented in a desktop environment [using an OS dependent wrapper or on top of runtime like Apollo], it can write files to disk and do otherwise taboo karmas.

For updates on whats going on in actionscript community[or Adobe technologies in general], subscribe to Adobe's MXNA . Some of the finest Actionscript coders can be found at flashcoders pipermail list. [chattyfig.figleaf.com/mailman/private/flashcoders/]

For an opensource perspective on Flash and Actionscript visit: osflash.org