Recent multi-wavelength observations of 3C454.3, in particular during its
giant outburst in 2005, put severe constraints on the location of the 'blazar
zone', its dissipative nature, and high energy radiation mechanisms. As the
optical, X-ray, and millimeter light-curves indicate, significant fraction of
the jet energy must be released in the vicinity of the millimeter-photosphere,
i.e. at distances where, due to the lateral expansion, the jet becomes
transparent at millimeter wavelengths. We conclude that this region is located
at ~10 parsecs, the distance coinciding with the location of the hot dust
region. This location is consistent with the high amplitude variations observed
on ~10 day time scale, provided the Lorentz factor of a jet is ~20. We argue
that dissipation is driven by reconfinement shock and demonstrate that X-rays
and gamma-rays are likely to be produced via inverse Compton scattering of
near/mid IR photons emitted by the hot dust. We also infer that the largest
gamma-to-synchrotron luminosity ratio ever recorded in this object - having
taken place during its lowest luminosity states - can be simply due to weaker
magnetic fields carried by a less powerful jet.Comment: 19 pages, 3 figures, accepted for publication in Ap