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What are some good database solutions that support Silverlight and are solid for a small-medium traffic website
Easy to use/Manage is a very strong plus
edit: Forgot to mention that the database needs to be very smartphone-friendly, it needs to be able to work with devices on iOS, Android, and Windows Phone 7
It depends on what you term small-medium. I would say SQL Server Express should suit your needs.
It is free, but your database size cannot be more than 10 GB. It also limits the resources that can be used from the server.
http://www.microsoft.com/express/Database/Default.aspx