So I have been running the numbers for Azure and RackSpace Cloud Servers and found that RackSpace is substantially cheaper, less developer investment (no custom programming), and RackSpace offers RackSpace Cloud Files if you need a substantial storage solution for your site. It almost seems too good to be true, what am I missing?
I've been using RackSpace cloud rather than Amazon because for small instances RS is less expensive. The service has been rock solid.
Another platform you should check out is AppHarbor. AppHarbor is a PaaS built on top of Amazon. On the one hand you get the portability and infrastructure of Amazon but on the other they provide a number of the rich services that Azure offers such as background tasks & load balancing plus some that it doesn't like 3rd party add-ons, dead-simple deployment and more.
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