Primary Distinction Between S/4HANA Public vs Private Cloud

As a more than 20-year global leader in ERP, SAP keeps developing its products to comply with the ever-evolving needs of its users. This article evaluates how the related editions of the SAP S/4HANA product family meet these requirements while describing in detail the distinctive features of the various operating models of SAP S/4HANA.


SAP S/4HANA, the company’s most cutting-edge enterprise resource planning system, is one of its most potent offerings at the moment. Several S/4HANA cloud versions have been developed by SAP in order to give the finest system for each of its customers.

1. Cloud basics

SAP S/4HANA Private Cloud Edition : Services are kept up-to-date on the private cloud on a private network that is firewall.

We can build a private cloud within our own data center or use one of the Iaas – AWS, Azure, GCP, Alibaba Cloud. The most security and control are provided by private clouds.

Private versions are single-tenant environments where our services are provided in a special setting by the supplier.

As a private cloud solution, RISE with SAP S/4HANA Cloud, Private Edition and SAP S/4HANA Cloud, Extended Edition are also available.

SAP S/4HANA Public Cloud Edition : Services are provided to clients via a network that is accessible to the whole public while using the public cloud.


Public clouds are effective and inexpensive, and they are frequently multi-tenant, which means that the service provider manages your account in a communal setting.

RISE with SAP S/4HANA Cloud is offered as a public cloud solution

2. When to use it?

SAP S/4HANA Private Cloud Edition : You have more control over the infrastructure due to the single-tenant architecture. This can be helpful in sectors with strict regulations, like finance and healthcare. More control and security are crucial if you are running IT workloads that are compliance-sensitive.

SAP S/4HANA Public Cloud Edition : The benefits of using the public cloud include lower costs, increased technical flexibility, and unrestricted access to computing power without the need to own and maintain IT infrastructure.

For startups and expanding companies without a lot of in-house IT experience, the public cloud is a fantastic fit. A public cloud might be more useful if you want simple scaling and reduced complexity but don’t need extensive control over the cloud infrastructure.

3. How Do the Costs Vary?

SAP S/4HANA Private Cloud Edition : The price difference between the private cloud and public cloud editions. This is as a result of the expensive and increased complexity of a dedicated cloud infrastructure. Moreover, S/4HANA Cloud Private Edition needs a larger user base, making it more appropriate for medium-sized and big businesses that can justify the increased prices with the requirement for customization.

SAP S/4HANA Public Cloud Edition : The implementation period is shorter and more cost-effective for SAP S/4HANA Public Cloud Edition. Customers can rely on a straightforward configuration, and updates will always contain any upcoming advances.

This is why it’s such a wonderful fit for businesses who want to swiftly implement a new, powerful ERP system with little disruption and a quick learning curve.

4. Type of implementation

SAP S/4HANA Private Cloud Edition : Brown field, Selective Data transition  and Green field

SAP S/4HANA Public Cloud Edition : Green field only. Could be a component of selective data transition

5. Customization

SAP S/4HANA Private Cloud Edition : The SAP source code can be altered by customers, including making structural changes.

Using the SAP GUI, customers get complete access to the system’s backend and full visibility.

Clients have full access to the in-app and side-by-side extensions, as well as code alterations and enhancements, supported by the on-premise extensibility framework. Full IMG access allows for expert configuration, and the operating expense model is subscription-based.

SAP S/4HANA Public Cloud Edition : Customization are made using SAP Fiori apps, such as Custom Fields and Logic and Custom Business Objects, with the public cloud solution.

Absence of backend GUI access.

Unable to alter SAP source code.

The SAP Business Technology Platform extension suites are easily accessible and connected with SAP S/4HANA Cloud for complicated customization that cannot be completed with the current Fiori apps.

No access to IMG

6. Lifecycle stability

SAP S/4HANA Private Cloud Edition : It depends on the degree and nature of the deviation from accepted best practices.

SAP S/4HANA Public Cloud Edition : Stable

7. Release Cycle

SAP S/4HANA Private Cloud Edition :

SAP S/4HANA Public Cloud Edition :

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