Google App Engine's primary DB is BigTable DataStore,
which is NOT a Relational Database.

they are introducing a new hosted SQL DB for business.

I don't think SQL is available at the moment.

DataStore: http://code.google.com/appengine/docs/java/datastore/overview.html

AppEngine for Business (SQL): 
http://code.google.com/appengine/business/#features
AppEngine Roadmap: http://code.google.com/appengine/business/roadmap.html

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