Yeah it's completely ridiculous. They announced the new pricing plan today, but even with the new one it's still ridiculous:
Windows Azure SQL Reporting pricing is changing effective February 1, 2013.
We have received feedback from customers indicating that most usage of Windows Azure SQL Reporting is far below the allowance of 200 reports per hour minimum unit of scale. Based on that feedback, we are introducing a new pricing model.
Effective February 1, 2013, we are changing the price for SQL Reporting from $0.98 per hour for every 200 reports to $0.17 per hour for every 30 reports.
More specifically, you will be billed a minimum of $0.17 per hour while your SQL Reporting instance is deployed. This base charge covers up to 30 reports each clock hour. For each clock hour in which you generate more than 30 reports, you will be billed at $0.17 for each additional block of 30 reports, rounded up.
Most of our subscribers will benefit from this change in pricing. However, if you feel that based on your usage patterns, this negatively impacts your subscription, please contact us. For more details, see our Pricing Details webpage.
Windows Azure Team
Under the new plan it works out to being roughly 120$ per month. For a small business this is an unreasonable fee, especially considering there's no way that we'll be consuming the number of reports that it's allowing.