Its trivial to write small web services in appengine, 
be they xmlrpc, jsonrpc, simple rest services.  (SOAP is a lot harder ;-)

You don't have to have multiple appengine instances. You could easily run a 
bunch of different services
out of the same instance. 

If you need to make sure individual web services in an instance can't share 
data then 
use names spaces.  Have a read up on multitenancy  
http://code.google.com/appengine/docs/python/multitenancy/

Rgds

T

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