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I'm going to try to keep this post short and sweet, since the platform teams are starting to deliver features faster than I can find time to write about them.

Before the New Year We updated both the ActionScript and Javascript SDKs in Beta

First - the AS3 / Flex SDK:

FlashBuilder 4 Support
We've made the necessary changes so that the SDK works with both FlexBuilder 3 and FlashBuilder 4. The SDK should also work with both Flash Player 9 and Flash Player 10. Please let us know on the forums if anything does not work in any of those scenarios.
All SWCs have been compiled into one file, MapQuestAPI.swc
We've consolidated all the different .swc files into one single .swc. Our developers sat me down and explained how I was being an idiot asking for separate .swcs, how it didnt save anything for the final application compile size, that everything will still work everywhere, and that all I was doing was making our users' lives painful instead of helping them. Mea Culpa!
Object Model overhaul to remove unecessary getter/Setter functions
Most explicit object.setProperty(value) functions have been removed from the SDK, in favor of a more AS3-friendly object.property = value. Returning these values using object.getProperty() has also been changed to object.property. This is a BIG CHANGE! Be prepared for application code refactoring.
Shapes and ShapeCollection Overhaul
The code has been overhauled to be simpler, and use a new internal drawing engine. by doing this we have now been able to add a couple of other new cool features...
Overlay cutout functionality added.
You can now add child overlays to a main overlay, and these child overlays will act as clipping masks to punch holes in your polygons, rectangles, ellipses, and circles. So now you can do donut polygons! yay!
Overlay Cutouts
You can use any shape overlay to cut holes.
geodesic Lineoverlays
LineOverlay now has a geodesic option that when set will render a curved line that follows the shape of the earth.
User Guide overhaul
All the user guide documentation has been consolidated into a single user guide that follows our new format - we will be continuing to flesh this out over subsequent betas.

And now the Javascript SDK:

Overview map control bug fixes
Several bug fixes along with removing the dependency on vector shapes for the area highlight - so you no longer need to have the overlays module loaded to use the control.
Added a Carousel Control
Modeled after our mapquest.com Biz Locator control, this lets you easily add shapecollections to a control on the map that your users can use to toggle the collections on and off.
Documentation Upgrade
Added Shape Collections documentation including Basics of Shape Collections, Remote Collections: GeoRSS, KML, and added more materials to the API Reference.

As always more to follow soon - in this case VERY soon, as I committed the cardinal sin of taking vacation, and returned to find a huge pile of updates on my desk that the teams did while I was gone!