Having administered a small (4 machine) cluster for a minor web app, I
appreciate what it takes to do the job properly. EC2 takes hardware
out of the equation, but you still need to know your OS, middleware
and database like the back of your hand, and you need to continuously
manage it. Scaling databases is another issue, and is not for the
faint hearted.

And then along comes Google offering a managed environment, and a
proven scalable datastore - at virtually no cost. There is undeniably
a learning curve to effectively use the datastore, and there are
system limitations that can be frustrating when you first encounter
them. In some cases these will preclude using Appengine exclusively,
but as another poster mentioned, you can fairly easily build hybrid
systems with other servers. I'd strongly recommend hiring someone
familiar with Appengine to advise you about where you might strike
problems, and how you might work around them.

We decided a year ago to build a new business on Appengine, despite
the pre-release tag. I'm now sure we made the right decision - we can
concentrate on the application and the business - what we do best -
and leave the system, database and network admin to Google. The app
has proven very popular, and we are in the process of launching in
North America. If it hits Oprah, I'll be guzzling champagne - instead
of trying to figure out how to replicate databases across EC2
instances.

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