Macromedia flash media server 2-developing media applications User Manual

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About streams and shared objects
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Multiple users (Flash clients) can connect to the same application running on Flash Media 
Server, which acts as a communication channel between connected users. 
Flash Media Server provides a channel of communication for clients.
About streams and shared objects
In traditional client-server applications, the server is typically used to execute some kind of 
transaction; the client makes a request, the server performs a database query or some resource-
based calculation, and then returns a result to the client. The connection between the client 
and server is maintained only long enough to complete the transaction.
While you can use Flash Media Server to implement transactions, its core use is handling 
interactions—coordinating the actions of multiple, connected users, or clients, and 
transmitting server-side data. Flash Media Server provides two communication models that 
simplify the process of handling user interactions: streams and shared objects.
Understanding streams
Streams are a time-based flow of synchronized audio, video, and/or data messages that flow 
from client to server, or from server to client. Streams use a publish and subscribe model that 
simplifies development of applications that use streams. A published stream can be played in 
real time (a video chat application, for example), or recorded and played later.
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You can also create secure RTMPS connections. For more information, see 
NetConnection.connect()
 in the client-side and server-side ActionScript Language 
References.
Client 1
Client 2
Server