I had the same question this weekend. There is a 4 hour downtime window per week for RDS where they do maintenance. RDS seemed more expensive if you can get away with a micro instance of EC2. (This is true of test instances which has minimum traffic) I also wasn't able to change the timezone of the RDS instance because I dont have permission.
I am now actually looking at http://xeround.com/ which is mysql on EC2 by another company. They do not use InnoDB, instead they have their own engine called IDG. I am just starting to investigate that but they are in BETA and will give 500MB of space.
