Disclaimer: I'm the lead for the App Engine product team.
I'm a Product Manager on App Engine and wanted to reach out and say that 100% we are invested in app engine and are working to make it your favorite platform. For example, we heard that GAE documentation needs enhancements and we've kicked off a large project to do just this. It's an ongoing effort as you can imagine, but please take a look at the new landing page and managed VM content as well as the left-hand nav reorg we did. Here is the link. More to come of course.
https://cloud.google.com/appengine/docs
Please give the new set of docs a try and please give us feedback when you see errors or generally when the content is not up to par with what you expect. There is a feedback tool on the top right hand side of every page.
Thank you! Amir
As of 2016, AWS is the better bet.
GCP is now offering an increasingly larger percentage of what App Engine used to offer, so really the future may look a lot more like just build your apps on GCE + PubSub + Cloud Datastore and don't even mess with App Engine at all.
Disclaimer: Google Cloud Pub/Sub engineer here.