Yes, it's true, the latest version of our Flash Maps API is in Mercator Projection! We've also added a number of new features and made other improvements with Version 7.0.0, some of which can be found in our official release notes and summarized below.

Mercator Projection

Online map projections can go unnoticed for many but also be the subject of great debate for others. We hope this switch proves to be more user-friendly, especially for those dealing with multiple data sources and finding that the standard for online mapping has increasingly shifted towards the more popular Mercator Projection. Developers will also be glad to know it has zero impact on their existing applications unless custom tilelayers were being utilized, in which case the tilelayer will first need to be reprojected. Below is an example using the new Flash Maps API in the Mercator Projection. It is shown demonstrating the retrieval of multiple GeoRSS feeds and the integration of video playback, and best of all, the source code has been made available for download!
Flash Maps API: CNN iReport Demo

Higher Zoom Levels

In addition to making the switch to Mercator, we've reduced scale limitations by now supporting zoom levels 2-18. This allows for the development of larger scale maps which show greater detail at the street level and can prove to be the optimal zoom level for your next location-based application.

Updated Design

With each release, we also try to mimic the robust features and design elements found on the site and make it available for developers. As seen above with the CNN iReport example and others found in Examples & Tutorials on the Developer Network, the zoom controller and auto-generated POIs have been further refined to reflect the look and feel of MapQuest. You can always find more documentation and source code on the Developer Network so please feel free to browse the site. All questions and feedback can be directed at @MapQuestTech on Twitter or be posted on the Flash Maps API Forums.