- Use XML for data that the
application should know -
configuration, logging and what not.
- Use databases(oracle, SQL server etc) for data that the user
interacts with directly or
indirectly - real data
- Use SQLite if the user data is more
of a serialized collection - like
huge list of files and their content
or collection of email items etc.
SQLite is good at that.
Depends on the kind and the size of the data.