After installing Visual Studio Enterprise 2017 (Version 15.1 (26403.7)) my Azure Cloud Service does no longer build and gives me the 'Error WAT200: No default service configuration "ServiceConfiguration.cscfg" could be found in the project'. Although it still works fine with Visual Studio Enterprise 2015. (The right TargetProfile is also specified...)
Ok I found it, after disabling the 'Lightweight Solution Load' (which in VS 2017 u can disable by right click on the Solution and then Disable Lightweight Solution Load), the error disappears and the Cloud Service builds again.