Just to emphasize what Kaan Soral said, without going into cheapness 
evaluation:
 "the initial costs seem to be high, but as the traffic increases, the 
costs doesn't increase proportionally.
So basically, appengine gets cost efficient with increased traffic, seems 
logical - so basically you have to excuse the initial daily ~<10$ costs if 
you are keeping instances and memcached alive"

It goes way further than saving costs for keeping instances and memcache 
alive.
When we launched one of our products, we had one engineer working on the 
back-end side (99% AppEngine). We had a few hundred daily active users.
Then our product became very successful and we reached 5 million (!) daily 
active users. We still only had one engineer working on our back-end.


@Tapir I'm sorry I can't really answer your 'Please share your GAE success 
stories!<http://groups.google.com/group/google-appengine/t/945c56ecd47682d4>' 
questions as I'm not allowed to share cost/revenue figures.

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