I think this is a really really smart move by Amazon personally. I was talking to my brother (a webdev for one of the biggest sites here in Australia) and he really loves the scalability of Amazons services. He was informing me of how great they would be for multiplayer development and I looked into it and it was all just a bit “blah” in terms of trying to get it up and running with a game engine.
But not even a few months later and what have they gone and announced? Made exactly that process of getting it up and running easier.
Now as for whether it’s a “better” engine than Unity or Unreal we/you could all argue 'til we’re black and blue in the faces. (and just as a side note I’m surprised to see so much hate for LUA, I used it for a DotA2 custom map and found it really painless.) But ultimately certain engines will have certain advantages over another and for a scalable multiplayer (cross-platform? In the future apparently) game I really think Lumberjack will have the competition beat, at the very least it if it’s successful (or not) will encourage (or dissuade) Unreal/Unity to take this feature-set more seriously (or focus elsewhere) which can only be a good thing.
I am looking forward to trying it out at the very least.