Deepak, Arthur,
You can run your existing SAP systems on a cloud environment, but it looks a lot like a normal hosted solution (albeit cheaper, more responsive if you need extra resources,). Even so, transforming the way your servers are administered and managed can have a large impact on IT agility in general, providing better support to the business (a simple example is automating tests, then running these tests in parallel on disposable copies of your production system). If you're currently running Windows or LINUX, you don't even need a System Copy
From Getting Started (Getting Started with SAP and AWS)
Step 6: Install / Deploy SAP solutions
There are two options for installing/deploying an SAP solution on AWS:
Option #1 - Deploy SAP Certified Solutions on Amazon EC2
Start with a base Windows Server, SUSE Linux Enterprise or Red Hat Enterprise Linux system image and install the SAP solution just as you would on any physical or virtual server. For detailed documentation on installing SAP solutions on AWS please read theImplementing SAP Solutions on AWS Guide and SAP on AWS Operations Guide
On the other hand, migrating to SAP's ondemand cloud services (like HANA Enterprise Cloud) becomes a business transformation issue. The fallout from that may be that the best software to support the business isn't even SAP Image may be NSFW.
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hth
