The popularity of cloud computing is rising to stratospheric levels. Dell announced Monday that it acquired “early cloud pioneer” Enstratius, and Google’s foray into hardware with its Chromebook Pixel “cloud laptop” is well underway.
Enterprise software is naturally following the cloud to its lofty heights, as SAP co-CEO Bill McDermott explained to Business Insider last week. Cutting hardware costs are big issues for companies — no one wants to buy more hardware, and most of what they use still works for them.
“They’re willing to invest in software, which is the innovation layer of IT,” McDermott said. “If you could take cost and risk out of the implementation by leveraging a private or a public or a hybrid cloud, you should.”
That certainly seems to work in favor of SAP, which soared 385 percent higher in the cloud year-over-year, according to its Q1 results last month. Looking forward, McDermott foresees many enterprises taking a hybrid approach, running business processes with their choice of on-premises, private cloud or public cloud solutions.
“We’re in all three,” McDermott said.
“What the market doesn’t realize about SAP is — not only are we going to do that for the market — but we’re going to give [customers] choice,” McDermott said. “So you’re going to get all of the industry expertise and functionality, and you’re going to be able to put it in the cloud.”
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