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SAP embraces Microsoft for stronger preferred cloud partnership

SAP embraces Microsoft for stronger preferred cloud partnership
The Siliconreview
25 October, 2019

SAP has announced the launch of a more detailed cloud partnership with Microsoft – showing how the German software giant’s Embrace project is gaining traction. Embrace, first announced in May, is SAP’s blueprint to help customers become ‘intelligent enterprises’ by utilizing the hyperscaler public clouds of Amazon Web Services (AWS), Microsoft Azure, and Google Cloud. This includes reference architecture based on various industry verticals, as well as value-added services for customers running a cloud-based or hybrid infrastructure.

This extended partnership with Microsoft billed as a ‘preferred cloud’ deal, will aim to speed up customer adoption of app development product SAP Cloud Platform and ERP bulwark S/4HANA on Microsoft Azure. SAP confirmed to CloudTech that there were no similar programs planned with the other hyperscalers right now.

Project Embrace on Microsoft Azure will have a three-pronged strategy for customers; simplifying the move from SAP’s on-premise ERP to S/4HANA, creating a ‘roadmap to the cloud for customers in focused industrieswith a path to streamline implementation’, providing a combined support model, alongside the reference architectures, put together with system integrator partners.

SAP has also announced its third-quarter 2019 results, with the gradual move from on-prem to cloud-based revenues continuing. Cloud revenue went up 37% year on year, while cloud and software revenues went up 12% and total revenues 13%.A statement from chief financial officer Luka Mucic noted that “despite continued macro uncertainties we couldn’t be more confident to make 2020 another stellar years for SAP.”