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Belts are quieter, and I think may actually take less power from the engine than a well-lubricated chain? They're also cheaper when manufacturing the engine, which I think is a pretty big concern for the car companies.
Chains, unless very short (e.g., old pushrod V8 timing chains) will need some sort of tensioning mechanism. These mechanisms can be finicky, and if and when they fail the chains can jam or break or simply jump time. In an interference engine, this tends to lead to very expensive damage, just like a broken timing belt would. Older Porsche 911s and 2007-2010 (or so) MINI Cooper S models seem to be relatively prone to such things. (Look up "death rattle" on a MINI board, or "chain tens" on a Porsche board to see what I mean.)
Both chains and belts have their upsides and downsides. I've been paranoid enough about the chain in my own MINI that I'm missing the belt in my old Honda. I replaced the belt every 60,000 miles--but some MINI owners are winding up replacing the chains short of that mark!
-soD
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