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The main consequence of the Peace of Augsburg was that it created a system of small states in Germany, each with its own state religion. This helped to bring about a period of relative peace in Germany.
The Peace of Augsburg put an end to the first of the major religious wars that sprang up because of the Reformation. By creating the system of "cuius regio, eieus religio," the Peace of Augsburg caused religious wars to stop for at least a period. Each state within Germany was able to have its own religion and therefore there was no immediate need for war.
Although this peace did not last, it was important. It helped to allow various Protestant sects to become firmly entrenched in European society.
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