Why is Microsoft Azure the optimal cloud platform for hosting SAP workloads?

As organizations seek greater agility, scalability, and cost-efficiency, the migration of SAP workload to the cloud has become  imperative. Choosing the right cloud platform can therefore significantly influence not only the migration experience but also the long-term performance and reliability of SAP applications.

In this blog, we explore why Microsoft Azure stands out as the best cloud platform for hosting SAP workloads—and what makes it the go-to choice for enterprises. From built-in SAP certifications to enterprise-grade infrastructure and robust support for hybrid scenarios, Azure offers a compelling environment for running mission-critical SAP systems with confidence.

1. Partnership between Microsoft and SAP

Microsoft and SAP have a long-standing strategic alliance that enhances Azure’s credibility as a trusted platform for SAP workloads. This partnership extends beyond branding—it translates into real-world collaboration that simplifies and accelerates cloud adoption.

SAP itself runs many of its internal systems on Azure, including the flagship SAP S/4HANA suite. The SAP Embrace program, co-developed by Microsoft and SAP, delivers reference architectures, migration blueprints, and best practices to support enterprise transformation. This collaboration ensures continuous optimization of SAP solutions on Azure and gives customers the peace of mind through co-engineered solutions validated by both vendors.

2. Certified infrastructure for high performance and scalability

Azure offers a broad range of SAP-certified virtual machines and bare-metal instances that are purpose-built to handle the demands of SAP HANA and NetWeaver workloads. This includes compute-optimized, memory-intensive, and storage-efficient options for any enterprise .

Microsoft Azure provides a broad set of infrastructure options tailored to support diverse SAP HANA workload requirements. M-series virtual machines are designed to support large in-memory HANA databases, while Edsv5 VMs are optimized for performance-intensive compute tasks. For enterprises requiring extreme scalability, SAP HANA on Azure Large Instances (HALI) delivers up to 24 TB of memory per instance. These infrastructure options allow businesses to dynamically scale SAP environments without overprovisioning or sacrificing performance.

3. Built-in high availability and disaster recovery

For enterprises running mission-critical SAP applications, downtime is not an option. Azure is designed with high availability and disaster recovery in mind, enabling businesses to architect resilient SAP landscapes with confidence.

Azure allows SAP workloads to be deployed across Availability Zones and Regions, minimizing the risk of localized failures. Features such as Azure Site Recovery, SAP HANA System Replication, and geo-redundant storage (GRS) provide the backbone for robust failover strategies and data protection. These capabilities help organizations maintain business continuity while meeting strict RTO and RPO targets.

4. Hybrid and multi-cloud flexibility

Many enterprises operate in hybrid environments, where not all the SAP systems can or should move to the cloud immediately. The Azure architecture supports hybrid and multi-cloud strategies without forcing trade-offs between control and agility.

With Azure Arc, organizations can extend cloud-native management and governance to SAP workloads hosted on-premises or in other clouds. This enables centralized visibility, consistent policy enforcement, and seamless workload mobility. Businesses with regulatory, data residency, or latency-sensitive requirements benefit greatly from this hybrid flexibility.

5. Integrated security and compliance framework

Security and compliance are top priorities when hosting business-critical workloads in the cloud. Azure provides a multi-layered security model tailored to enterprise environments, especially those running SAP.

Security features include network segmentation, data encryption in transit and at rest, role-based access control via Azure AD, and continuous threat monitoring with services like Microsoft Defender for Cloud. Azure meets a broad spectrum of compliance requirements, supporting certifications such as GDPR, HIPAA, FedRAMP, and various ISO standards. These ensure that SAP workloads are both secure and compliant from day one.

6. Advanced analytics, AI, and innovation capabilities

One of Azure’s major differentiators is its ability to supercharge SAP workloads with advanced analytics and artificial intelligence. This enables businesses to extract more strategic value from their SAP data while driving innovation.

Azure services such as Power BI, Azure Synapse Analytics, and Azure Machine Learning allow seamless integration of SAP data with external sources for enhanced insights. From predictive analytics to intelligent automation, companies can modernize operations, forecast demand, optimize supply chains, and make faster, data-driven decisions—turning SAP from a transactional system into a catalyst for growth.

7. Enterprise-grade support and ecosystem

Cloud-based SAP workload migration and management require expert knowledge and technical proficiency. Azure is backed by a global ecosystem of SAP-certified partners, solution architects, and support engineers who understand the complexities of SAP transformations.

Microsoft provides tools like the SAP Migration Assessment, prescriptive guidance, and Azure Expert Managed Service Providers (MSPs) to help organizations plan and execute successful migrations. Integrated support models between SAP and Microsoft ensure that any incidents are quickly addressed through coordinated troubleshooting, reducing downtime and accelerating time to resolution.

Microsoft Azure offers a powerful, secure, and scalable environment tailored to the complex needs of SAP workloads. With its strategic SAP alliance, global infrastructure, deep integration capabilities, and enterprise-grade support, Azure empowers businesses to future-proof their SAP investments and accelerate digital transformation.

Ready to unlock the full potential of SAP on Azure? Partner with MSRcosmos—your trusted cloud transformation expert—to design a tailored migration strategy and maximize long-term value from your SAP investments.