Microsoft, SAP Deepen Their Cloud Collaboration With S/4 HANA on Azure

Microsoft and SAP both commit to running SAP HANA on Azure internally

Both companies agreed 18 months ago to collaborate to combine Microsoft Office 365 into SAP. SAP will migrate its internal critical system to Azure.

SAP agreed to use Microsoft's Azure cloud-computing service internally, and said it will highlight that usage to customers shopping for their own cloud services.

Microsoft and SAP SE announced integrated offerings to provide enterprise customers with a clear road map to confidently drive more business innovation in the cloud.

Although they are stalwart competitors in the business software space, Microsoft and SAP have found common ground in the fast-growing market for enterprise cloud services.

"We are taking our partnership to the next level with this new capability to run SAP S/4HANA in the Microsoft Azure environment", said McDermott. Microsoft is transforming its internal systems - which include legacy SAP finance applications, and will implement the SAP S/4HANA Finance solution running on Azure.

The companies will document these internal projects, to better offer customers guidance and enterprise architecture for the deployment of SAP applications on Azure, according to the release.

And this year SAP said that its customers could run its software on AWS, as well as Azure and Google's Cloud Platform in preview.

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Microsoft will move the SAP applications it runs in its own data centers to SAP's cloud-based S/4 HANA products.

"As technology transforms every business and every industry, organizations are looking for the right platforms and trusted partners to help accelerate their digital transformation", said Satya Nadella, CEO of Microsoft.

"Microsoft benefits because it adds more legitimacy to its cloud operations".

Microsoft isn't the only major cloud provider touting its partner ecosystem this week. A number of mutual big name customers including the Coca-Cola Co. and Costco Wholesale Corp. claimed that the expanded partnership will help to boost their own cloud strategies.

Over the past several years, Microsoft and SAP have made lots of partnership commitments.

At AutoMobility LA™ Cubic Telecom will demonstrate how its data analytics solution powered by Azure Location Based Services will help city planners, automotive OEMs and third parties to more effectively manage Electrical Vehicle (EV) charging station locations, occupancy rates and overall efficiency of the infrastructure.

The announcement included customer testimonials from businesses using SAP solutions from Azure.

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