discuss:

linode.com: https://manager.linode.com/signup/#plans
 - 1GB RAM, 32GB disk, 400GB bandwidth -- *$40/mon*

appengine: 
http://code.google.com/appengine/docs/billing.html#Billable_Quota_Unit_Cost
 - 1GB RAM ($460.80), 32GB disk ($7.68), 400GB bandwidth ($48) -- *$516.48/mon 
 *(12.9x)
   (under announced storage chg to $0.24/GB/mon)

usual arguments:
 - "appengine gives you free quota" -- this only applies to tiny apps.
 - "appengine bills only for what you use" -- but few paid apps use <10% of 
their quotas.
 - "appengine scales" -- is it really that hard to scale clusters of VPSs?
 - "appengine is more reliable" -- actually, VPS is pretty darn reliable in 
practice,
   and it's trivial to setup failover and clone VPS instances for disaster 
recovery.

what am I missing?

adam
(ex-googler and huge fan of both appengine and linode)

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