Yeah, it was just a prototype to protect live video streaming on Android devices... Performance was pretty bad and so the frame rate was pretty low. I think it would work decently for desktop Flash. JW Player have a HLS plugin for Flash which is pretty good, a lot more fleshed out than my prototype ended up being.
Apple do something similar http://developer.apple.com/library/ios/#documentation/Networ... this approach is more secure than what we de (Restrict access to the manifest file and have Flash request the current key when needed at runtime).