Apparently, in order to make a bitmap transparent, one has to convert it to 256 colors from 24. I'm not sure if Flash puts it in 24 or 256, but because I can't create a transparency when using Bitmap() in my code, and from what I see displayed on the screen, it would appear that it uses 24 colors. Perhaps this is to keep things light. Nonetheless, is it possible to convert it to 256 colors?
what are you using to create a transparent bitmap that's failing?