HI

Appengine does not use SQL.

There are tools that will let you see if particular records are present in 
the database.
There are admin tools for browsing the database by kind, you can use the 
remote_api_shell to load your models
and query objects.

You app is safe.  Appengine service itself is not open source, You 
application can be, but doesn't need to be open source.
Once you code is deployed on appengine, only the person that deployed it can 
download it, and this capability can be pernanently turned off.

As to the specific suitability of appengine to your application only you can 
decide.  

I suggest you work through the getting started guides for java or python as 
appropriate.

Rgds

Tim

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