We have failover loadbalancing running between multiple datacenters, no issue here!
edit : 99.99%
Do Microsoft say this about Traffic Manager or are you suggesting you have to pay for extra services to get the advertised reliability figure?
Who was selling that to you? Because I'm pretty sure it wasn't Microsoft…
http://azure.microsoft.com/en-us/support/legal/sla/
9 hours of downtime means they are down to at most 98.75% for this cycle.