I am at the planning stage of a web application that will be hosted in Azure with ASP.NET for the web site and Silverlight within the site for a rich user experience. Should I u
Azure Table Storage appears to be less expensive than SQL Azure. It is also more highly scalable than SQL Azure.
SQL Azure is easier to work with if you've been doing a lot of relational database work. If you were porting an application that was already using a SQL database, then moving it to SQL Azure would be the obvious choice, but that's the only situation where I would recommend it.
The main limitation on Azure Tables is the lack of secondary indexes. This was announced at PDC '09 and is currently listed as coming soon, but there hasn't been any time-frame announcement. (See http://windowsazure.uservoice.com/forums/34192-windows-azure-feature-voting/suggestions/396314-support-secondary-indexes?ref=title)
I've seen the proposed use of a hybrid system where you use table and blob storage for the bulk of your data, but use SQL Azure for indexes, searching and filtering. However, I haven't had a chance to try that solution yet myself.
Once the secondary indexes are added to table storage, it will essentially be a cloud based NoSQL system and will be much more useful than it is now.
For those trying to decide between the two options, be sure to factor reporting requirements into the equation. SQL Azure Reporting and other reporting products support SQL Azure out of the box. If you need to generate complex or flexible reports, you'll probably want to avoid Table Storage.
I realize this is an old question, but still a very valid one, so I'm adding my reply to it.
CoderDennis and others have pointed out some of the facts - Azure Tables is cheaper, and Azure Tables can be much larger, more efficient etc. If you are 100% sure you will stick with Azure, go with Tables.
However this assumes you have already decided on Azure. By using Azure Tables, you are locking yourself into the Azure platform. It means writing code very specific to Azure Tables that is not just going to port over to Amazon, you will have to rewrite those areas of your code. On the other hand programming for a SQL database with LINQ will port over much more easily to another cloud service.
This may not be an issue if you've already decided on your cloud platform.
Azure tables are cheaper, simpler and scale better than SQL Azure. SQL Azure is a managed SQL environment, multi-tenant in nature, so you should analyze if your performance requirements are fit for SQL Azure. A premium version of SQL Azure has been announced and is in preview as of this writing (see HERE).
I think the decisive factors to decide between SQL Azure and Azure tables are the following:
Although Azure tables are tremendously beneficial in terms of simplicity and cost, there are some limitations that need to be taken into account. Please see HERE for some initial guidance.
One other consideration is latency. There used to be a site that Microsoft ran with microbenchmarks on throughput and latency of various object sizes with table store and SQL Azure. Since that site's no longer available, I'll just give you a rough approximation from what I recall. Table store tends to have much higher throughput than SQL Azure. SQL Azure tends to have lower latency (by as much as 1/5th).
It's already been mentioned that table store is easy to scale. However, SQL Azure can scale as well with Federations. Note that Federations (effectively sharding) adds a lot of complexity to your application. I'm also not sure how much Federations affects performance, but I imagine there's some overhead.
If business continuity is a priority, consider that with Azure Storage you get cheap geo-replication by default. With SQL Azure, you can accomplish something similar but with more effort with SQL Data Sync. Note that SQL Data Sync also incurs performance overhead since it requires triggers on all of your tables to watch for data changes.