Which is better for performance Azure SQL Database or SQL Server in Azure VM?

Hi,
We are building an ASP.NET app that will be running on Microsoft Cloud which I think is the new name for Windows Azure. We're expecting this app to have many simultaneous users and want to make sure that we provide excellent performance to end users.
Here are our main concerns/desires:
Performance is paramount. Fast response times are very very important
We want to have as little to do with platform maintenance as possible e.g. managing OS or SQL Server updates, etc.
We are trying to use "out-of-the-box" standard features.
With that said, which option would give us the best possible database performance: a SQL Server instance running in a VM on Azure or SQL Server Database as a fully managed service?
Thanks, Sam

hello,
SQL Database using shared resources on the Microsft data centre. Microsoft balance the resource usage of SQL Database so that no one application continuously dominates any resource.You can try the
Premium Preview
for Windows Azure SQL Database which offers better performance by guaranteeing a fixed amount of dedicated resources for a database.
If you using SQL Server instance running in a VM, you control the operating system and database configuration. And the
performance of the database depends on many factors such as the size of a virtual machine, and the configuration of the data disks.
Reference:
Choosing between SQL Server in Windows Azure VM & Windows Azure SQL Database
Regards,
Fanny Liu
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Fanny Liu
TechNet Community Support

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