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[Desert Dog]

I just tried your game on my Galaxy S. In the card matching game, the flipping animation is already slow and lagging. If simple game like this still has speed problem, it's hard to call it playable

Yeah, that's one of the things about html5. It has weakness's. Sound support is a big one. Scaling is another, (which is how I did my flipping animation).
I thought I could get away with it, and I kinda did (most other devices run it no problems) but you've got to be careful with your design. So a pretty typical coding technique was just poor design work in html5.

And spacemonsters guy is a legend.

So if I consider making 2D games, and probably publishing them to portals and mobile devices, what do you guys consider are the best tools to go for?

I've been checking out and using Action Script 3 and Game Maker.

And just what exactly is the programming tool or engine that most developers are using to make mobile games?  I was kinda confused hearing about how Flash is not focusing on mobile games, and then folks also saying that HTML 5 sucks on mobile.

Well, you know about GM-Studio, so you know about the extensions it will have for exporting to Android, iPhones, etc. That + html5 provides the mobile web game element.

I think GM is a great tool. The only factor here is cost. $100 for the base GM-studio + $200 for each add-on, can add up.

If you want to go html5, then hey, you can just dive straight into javascript, in notepad(++). Absolutely free, and if you have net, there are tutorials, and resources you can collect. Can't get much more cheaper, or convenient than that.

You really need someone who's in the flash know-how to tell you about Flash, and the various opportunities that it opens up to you, but flashpunk is a good(excellent) free library, that works with a free compiler. And I'm pretty sure you can compile them so that they work on iPhones, etc, although I don't think as web games (just app's.. app store, etc)

You can't go very wrong with Flash, it's so widely used. And I also think you won't go wrong with Html5, either, but opinions differ. 

[Hima]

Flash itself may not focus on mobile but AIR does. With AIR, you can convert an swf to a native iOS and Android application. All this can be done for free without having to pay for Flash CS. You can use flixel or flashpunk library, or you can go for a gpu-based library like starling or ND2D. All these are free as well.

The downside of this is that you have to pay for the license to sell your game on that platforms, which is unlike HTML5 where you can just upload the game and you're good to go.