Hi,
yes – The WP Flash Uploader is a wrapper around the TWG Flash Uploader which is distributed a Freeware with the 3 MB limit. This limit is of course gone if you register. The registration is for TinyWebGallery, TWG Flash Uploader and the Joomla Flash Uplader as well because they all use the same Flash.
The Flash can replace the internal uplader + you are even able to manage your worpress install because you can create folders and so on. The internal uploader is a little bit better integrated. In the WP Flash Uploader you have to synchronize after the upload. In the reg. version of the FLash Javascript events are available. I use this to synchronize the files automatically after the upload.
If you are asked for a password: Are you directories protected by a .htaccess file? Because this is a problem of flash that on some servers cookies are not sent properly by the flash and therefore you have to enter the password again.
About the workflow: Upload your images, synchronize and select them from the Media Libary. With the reg. version the synch is done automatically.
And about upload – do you have FTP at work? Upload the files with ftp to the upload folder and synchronize you upload folder. The synchronization is indepentant of WFU.
– Michael