I'm using SQL Azure on a project and it works great. The problem is that the usual backup features do not exist. I have exported the database a couple of times using SQLAzureMW ( http://sqlazuremw.codeplex.com/ ) but this tool is now choking trying to download the database data with bcp. In any case, it's not as nice a solution as SQL Server backups.
Is anyone aware of a commercial or open source tool, or other technique, for making reliable backups of SQL Azure databases? This is really a showstopper.