And the second part of your question: Azure vs. GAE. I'm not aware of
any formal white papers that exist on this subject; although, I'll
wager cash money that Microsoft has a couple in the pipeline
somewhere. I work with both. I earn my salary being a happy trilobite
in the Microsoft ecosystem, so I have the C# and ASP.NET skills to
take good advantage of Azure. I'm also a hopeless Google fanatic, and
I got on-board with GAE on day one.

My analysis: Azure and AppEngine are more like each other than any of
the other cloud computing platforms, such as Amazon's EC2. They both
give you a new programming model -- a sandbox -- to work in that
encourages you to architect your applications in a way that allows
them to take advantage of the instant, no-effort, on-demand scaling
that is the real, compelling advantage of the Cloud.

They both give applications fairly generous free quotas that give the
developer and extremely-low cost-of-entry, enabling him of her to
build and deploy an application without up-front and.or monthly cash
outlays. If you are lucky/smart your application can be generating
enough revenue to more than cover its costs before you have to start
paying for resources.

The main decision point between the two platforms comes down to the
technology that you want to use to build your web application. Do you
have access to C# and ASP.NET skills? Azure is a good choice. Do you
have a Python/Java open source guru handy? AppEngine is a winner.

A secondary decision point might be your choice of development
platform. The Azure SDK will install and run on Vista or Windows
Server 2008, and you will need a Visual Studio 2008 license. On the
other hand, you can build AppEngine applications on Windows (XP,
Vista, 7, etc), MacOS or Linux.
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