Same issue here. Latest version of DOM and Uploadify (from github).
Using an Uploadify-Field in a Page or DOM-Poupup (eg. by editing an existing entry) works fine, just not when using the "Add NameOfDataObject" button with the ImageDataObjectManager.
I'm sure it worked a few versions back..
Update: Upload doesn't work in the "Files & Images" tab either. So it's most likely a bug in the DOM and not in the Uploadify code. I'm not able to track it down though. Got no error in the logs.. the upload just keeps sitting at 0%
There was a change to DOM to initiate the upload on submission of the form, not on completion of the dialog box. You just need to click the button.
People were complaining about the usability issues of being able to upload files and closing the popup before they're actually saved. It wasn't clear that you had to click the "continue" button to actually write the files to the DOM.
I think we should make this an option in DOM and have it default to the old behavior.
@UncleCheese Oh man. I didn't even think about clicking on continue. I was so used to the old behavior. Nevertheless, I think reverting to the old behavior was a good choice, since it's consistent with the functionality of the uploadify-field elsewhere in the CMS.