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"The current release does not support stored procedures" <-- This is going to be a major problem if it's true.
http://en.wikipedia.org/wiki/SQL_Server_Compact
Indeed, you'll want at least SQL Server Express http://www.microsoft.com/sqlserver/en/us/editions/express.aspx
Then how about SQL Server Code Name "Denali" CTP3 (eg SQl Server 2012), with LocalDB?
http://www.microsoft.com/sqlserver/en/us/default.aspx
I really like the idea of having a small shared component/file directly in the project, instead of having a service running using unnecessary power all the time, while developing. :)
Anyone knows if it´s eaven possible to use SQL CE with EPiServer? At least during development.