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Industry Cloud focus in 2021 Engelhardt anticipates two key product streams in the next 5 to 10 years . Firstly , the on-premise world , which will be deployed more and more on private cloud environments ( incorporating the S / 4HANA Utilities suite ) and secondly , native cloud solutions that come with highly modularized architectures and simplified business processes .
The latter won ’ t support the same functional complexity of traditional on-premise solutions but are faster to implement and provide significant TCO advantages . “ We believe most utilities will require a mix of both – at least until the majority of the traditional business processes has been fully transformed to the digital age ,” he said . “ A lot of traditional business processes cannot be supported by native cloud applications unless the industry changes massively – and I don ’ t see that happening quickly . So having a solution strategy that supports both worlds , like S / 4HANA on premise with the cloud , I think that ’ s very important . We can support both narratives – a complete end-to-end process on-premise and by the end of next year , a complete end-to-end in the native cloud , and any combination of both .”
Consequently , SAP ’ s on-premise solution will be further developed in parallel to SAP ’ s investment in the cloud , he added , identifying markets and segments which need it . “ The good thing is we can offer the complete on-premise suite through a subscription model in a private cloud environment , leveraging hyper-scaler qualities ,” he said . Other priorities include :
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