Just released with only a limited number of applications being accepted at the moment:
"Google App Engine enables developers to build web applications on the same scalable systems that power our own applications."
Interesting tidbits upon first glance:
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Uses the Python programming language.
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500Mb and ~5,000,000 for free!
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Sandbox: In other words, if someone’s applications crashes, yours doesn’t.
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Can use Google Apps for user signup.
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The SDK includes an App Engine emulator.
Looks like interesting things, like massively popular Web applications that should scale perfectly and inexpensively, are coming soon.
Source: Google Application Engine.
