EDIT: metabrew has very good tutorial - which should be a starting point for everybody new to this space!
2. The problem is, that Amazon EC2 doesn't support multiple IP aliases per instance. To generate 1M connections, I had to launch a cluster of 17 instances to generate 1M clients. On physical server with a lot of RAM, you can just create 17 IP aliases.
3. Tsung is a great tool - but hard to control and has it's own limits. So if you need to do large scale loadtesting - better write your own tool.