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Microsoft Dynamics 365 Finance & Operations – Deployment options
You can now deploy Microsoft Dynamics 365 for Finance and Operations in the cloud or on-premises. Cloud deployments offer a software system that is fully managed by Microsoft, while on-premises deployments as name suggests, are deployed locally within a customer’s data center.
Why cloud
Cloud deployments provide a cloud service that is easy to scale up or down as needed, as well as data centers that are fully managed by Microsoft. The time spent implementing Dynamics 365 for Finance and Operations can be significantly shortened, fewer customizations may be required, and the costs of IT hardware and infrastructure are lower.
Why on-premises
With an on-premises deployment, existing data center investments can be leveraged. Customers can also configure their enterprise preferences to meet their needs.
•    The regulatory and compliance requirements of their business,
•    Comply with data sovereignty rules in regions where there are no Azure Data Centers, or
•    Ensure business continuity in areas with limited public infrastructure.