It was mentioned during presentation (slide 12) that, UpdateDomain and FaultDomain are part of Configuration. But as per Windows Azure SDK v1.4, Upgrade(or Update) domain property is available in service definition file and FaultDomain is not available in either Definition or Configuration files(I guess, this is read only and not updatable). Could you please verify these and confirm?
So, what kind of service accounts are used? Does one have an active directory domain? Local Accounts?