An exception occurred while executing a Transact-SQL statement or batch. (Microsoft.SqlServer.ConnectionInfo)
Perhaps you wanted to try Azure and especially SQL Azure. Maybe you wanted to connect to your SQL server in the cloud (especially as Microsoft provides a connection string) through Microsoft SQL Server Management Studio (MSMS). Forget that for now. Microsoft has no support for this currently.
There are some workarounds. You can, while in the Management Studio, open a new connection. Login. You will get an error. Click ok. Now, you can browse your tables but you can atleast peform SQL queries.
Guess we have to wait for the final release.