Dutchdown,
it depends on whether diving is your one and only aim of that trip or whether it matters what type of place you're staying at etc. Of the three places in Egypt I have been and dived I'd "rate" them the following:
Marsa Alam (in the south):
excellent diving, pristine untouched reefs, usually "big fish" - everyone sees sharks at Elphinstone Reef, except for me
- , very remote and not too many people there. As far as social activities go, you're basically limited to your resort or, like me, to the dive camp. Most people at the camp were groups of divers from Europe, couples and families, however I was lucky to buddy up with two other solo travellers, and also the Egyptian dive staff were great fun to be with, so I wasn't bored.
Sharm:
Only did 3 dives there (2 on the Thistlegorm Wreck, 1 in Ras Mohammed) - great dives, but very busy, especially inside the wreck. December might be less crowded. Ras Mohammed has some spectacular dives but again, you will have to share with more divers than in Marsa Alam. Didn't like the atmosphere in Sharm, it's very glitzy, lots of nightlife, mainly package holiday crowds (sorry guys, nothing wrong with the occasional package holiday, but you know the type I mean) and locals that are used to the worst kind of tourism.
Unless you're on a package, accomodation is quite expensive in Sharm.
Dahab:
Still a very laid back, travellers kind of place, although the government is trying to make it go the Sharm way. Mainly friendly tourists and friendly locals, nightlife at beach bars rather than night clubs. Best place to meet other travellers.
Some of the dives are excellent and famous (or infamous, like the Blue Hole), some are good, some average. Generally you see less marine life than in Ras Mohammed or Marsa Alam, but there are some spectacular wall dives and of course, there are plenty of fishies about. I have pretty much done all the sites there, many of them more than once, and I still find ways to vary them. We even "discovered" an entirely new site this time - but we'll keep it a secret for now
.
So - that's it, my vote would go to Marsa Alam if you mainly want diving and tranquility, Dahab if you want a mix of diving, socialising and beautiful desert scenery.
Sharm - maybe if I'd get a very cheap package and was going with a friend.