I think there are some things people need to keep in mind.

GAE is currently in a preview release with no announced date for when
it will be ready for production use. Google has committed to try to
get it up by year end, based on things said at conferences. That's it.
You really should not build anything that's "live" production right
now on it.

There is a big difference between criticism and constructive
criticism, and there is more of the former in this thread. It may be
true that the quotas are too strict, but bashing them for making them
too strict is going to increase the change that they'll loosen them
up. Personally, if I was working on releasing something to the scale
of appengine to the public, my initial release would have strict
quotas and then leave me in a position to loosen them in order to meet
demand, rather than being too easy with the quotas and being forced to
make them stricter in order to support load.

As far as the memcache and whether developers will use it or not, I'd
suggest that you should use the tools available to you. Maybe I come
from different era of development and am jaded by over a decade of
working a sysadmin for organizations with tight IT budgets. I have the
belief that a developer should always optimize their code in order to
have it run as cleanly and optimal as possible in order to cut
hardware costs, rather than taking the shortest route to meet a
deadline which in the long run increases operational costs when it
scales beyond current hardware. Caching is always a good thing, rather
than repeatedly doing the same computation over and over.

Not to toot my own whistle, but if you don't have the time or
inclination to write your own cache handler to take advantage of
memcache, then take a look at the one I wrote at: 
http://gaeutilities.appspot.com/cache

It can be used like any other dictionary object and uses both memcache
and the datastore to store your results for both reliability and
performance. There's also several others out there as well, some using
just memcache, and others just using the datastore.

This is a preview release and you are not currently paying for the
product. I think you should consider that when you consider the tone
in which you write your messages. Hopefully the developers and
decision makers realize that there is a vocal minority and there and
many more of us happily developing on the platform and taking
advantage of what it has to offer.
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