Airxliban, I've been two both places. I've been to Sharm El Sheikh a few times and to Agia Napa, Cyprus back in 2000.
If you want my honest opinion I would say Sharm El Sheikh is by far better and I swear this nothing to do with the fact I'm half Egyptian. Sharm El Sheikh is truly an amazing places and all my friends who have been there said they would love to return again.
Sharm (short for Sharm El Sheikh) offers so much to a holidaymakers and is developing and expanding at an amazing rate. Sharm is most famous for its scuba diving experience. It was recently compared with the Great Barrier Reef in Oz, so that should be an indication of how good this place really is. The beaches are so gorgeous. The sand is golden and the water is so clean and pure. You have every possible water sport available (and believe me you have to try them ALL
out). There are world-class official diving centres that train people how to dive, so that you can make the most out of your experience.
As for accommodation the hotels there are just amazing. They are all at least 4 start hotels and there is a 6 star hotel too. There are shopping malls, cinemas, clubs, restaurants, cafes (including Hard Rock Cafe), and many other facilities that make it an amazing stay.
The nightlife is also fantastic, and the resort seems to be alive 24 hours a day. There are quite a few clubs around that suite different tastes in music from RnB to Trance.
For the more adventurous person, just outside the resort their are quad biking expeditions into the local desert and mountains (which I can only say is a must do). They have recently start absailing and skydiving.
I can go on and on because there is so much to tell, but that was just a taster.
As for Agia Napa, the only thing they have over Sharm is the fact that since it's more of a clubbing resort, you'll have a greater choice of clubs. But apart from that I think Sharm is by far more superior (even with the Europeans) by Cyprus is still an mazing place too.