I don't know that much about Azure... yet. But I am quite sure that is will be more and more important in the future.
From what I understand now it's the Microsoft platform for development of application that uses services "in the cloud", as you should say these days. Behind the buzzwords you'll find a bunch of services that can be reached over the internet that you can take advantage of. These includes storage, logging and other low level services but also Microsoft Live Services and CRM services etc.
The whole idea, I guess, is that given these services in place you can much faster get up and running.
OK - sounds like an good idea... Let's see it in action. Here are some videos.
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