Is this recommendation just for quota distribution (so that the big
ones do not eat up the quota of the smaller ones) or is this a
recommendation for better scalability and performance?

I always had the impression that the GAE infrastructure would be able
to handle such access patterns and give good throughput and response
time even for unbalanced loads from different clients. In fact this
would be one of the main benefits of cloud that I just have to manage
one app instance and do not have to care about load and its
distribution. It would be good to know if there are limitations.

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