A recent question was raised about Windows Azure Cloud drive and snapshots limit so hear is the answer:
Windows Azure cloud drive have no limit in terms of having snapshots. You can have as many as drive snapshots you would want to however as the counter goes up the performance degrades. To have cloud drive’s performance upto mark keep the snapshot count to 10 or less as having more than 10 or higher snapshot count you might start getting poor performance.
More info about Cloud Drive and snapshots :