Windows Azure recently adds new in-place updates options, and that give us more elasticity capabilities. The new in-place updates options are:
That means that we don’t need a VIP swap or re-deploy anymore to apply those changes in our deployments. The principal advantage of use In-Place Updates is that the service availability can be maintained as long as there are at least two instances for each role. This update options requires Windows Azure SDK 1.5 or later.
More info: http://blogs.msdn.com/b/windowsazure/archive/2011/10/19/announcing-improved-in-place-updates.aspx