True cloud is public and multi-tenant
Built from the ground up on a web-based platform within a shared cloud infrastructure, true cloud is public and multi-tenant. Private cloud solutions can’t really compete with the public cloud financially and operationally while hybrid providers struggle to marry the two. It doesn’t make sense to invest in private cloud or in solutions that contain it. Everything relating to a private cloud is less secure and more expensive.
What this means for the customer is you get a single instance of the given application, as it serves multiple clients or tenants. In other words, all customers are on the same instance, or version, of the ERP application. If there is ever an error, bug or security issue in the system, the seller owns that problem and can fix it at once, in one place, and with the necessary security upgrade. All fixes will apply to all customers. Multi-tenancy also means that all customers run on the latest version of the software.