I think the main argument for it is that you get access to the resources you need when you need them, and you pay only for the workload that you need.
Ie it should be very scalable.
More info here (somewhere :)
http://www.microsoft.com/windowsazure/[
^]
Here is Microsofts elevator pitch taken from
http://www.microsoft.com/windowsazure/economics/default.aspx[
^] :
You won’t have to invest the money, time and effort in procuring and configuring on-premises infrastructure.
There’s no need for you to implement fail-over or redundancy systems.
It’s fully configured and managed, freeing your resources from building and managing Virtual Machines or patching the OS.
It’s completely integrated with Visual Studio and the .NET framework, so there’s no need to re-train your development team or purchase new software tools. It also works with Eclipse, Java, PHP and Ruby.