Hi Shankar,
your question is not to be answered easily.
And you will also not find any recommendations about cloud or on prem in SAP documents.
The first question is: What is your understanding of 'cloud'?
If we are talking about cloud like amazon AWS - forget it for BW on HANA.
If you consider to give the HANA system to a professional SAP hosting provider - yes, why not. If they are experienced with operating and running HANAs, you can agree some SLAs with them - and they do the job.
But you have to think about all the connected systems too - usually you are loading lots of data into your BW system. On the application layer there is no compression so the traffic can be quite massive and the runtimes could exceed your needs very fast.
The projects and customers I know, are running the BW in same infrastructure as the other SAP landscape.
If the rest of the SAP landscape is running on premise - It is a good idea to calculate also HANA on prem.
With the TDI implementation solution its also possible to reuse existing hardware of storage and network - not to forget about the already existing infrastructure operation processes/knowledge.
Open for detailled discussions on this
Regrads,
Stefan
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