Google doesn't use Flash, but actually some kind of clever javascript (well, this is what they all think about :-)). Using javascript and css, you can create a file selector that allows the user to select the file to upload. Then you use a hidden iframe. The act of submitting a form with your upload file is aimed at a hidden iframe so that the result obtained from the successful success of the server falls into this hidden iframe. Using javascript, control the document body of this iframe to know when the file is uploaded.
This link is a quick example of a basic concept: http://www.seemysites.net/projFolder/uploader/
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