In today’s industrial landscape, organizations are rapidly adopting IoT-enabled solutions to collect real-time data from machines, sensors, and PLCs. However, collecting device data is only the first step — the real value comes from integrating this data into enterprise systems like ERP, analytics platforms, and business applications.
This is where SAP IoT Edge, SAP IoT, and SAP Cloud Platform Integration work together to create a scalable, secure, and enterprise-ready IoT architecture.
What is SAP IoT Edge ?
1) It is a Edge-side software installed near machines (factory / plant / gateway).
2) Collects data from Sensors, PLCs, and industrial machines.
3) Supports OPC-UA, MQTT, Modbus, REST Adapters.
4) Performs local filtering, aggregation, buffering.
5) Works with low-latency and unstable internet.
SAP IoT Edge – Role in Integration
1) Direct interface to physical devices.
2) Handles industrial protocols not supported by CPI.
3) Reduces data volume before cloud transmission.
4) Ensures reliability and near real-time processing.
What is SAP IoT (BTP Services)?
1) SAP IOT BTP is a Cloud-based IoT services running on SAP BTP.
2) Central IoT platform for device onboarding and management.
3) Provides rules, events and APIs.
4) Acts as a secure IoT backbone for SAP landscape.
SAP IoT (BTP) – Role in Integration
1) Manages device lifecycle and security.
2) Processes and enriches IoT data in the cloud.
3) Triggers rules and events.
4) Exposes data via APIs/events for SAP CPI consumption.
What is SAP CPI?
1) SAP Cloud Platform Integration is a middleware.
2) Integrates SAP and non-SAP applications.
3) Enterprise-grade integration, monitoring, and governance.
4) Does NOT communicate directly with sensors or PLCs.
SAP CPI – Role in Integration
1) Consumes APIs/events from SAP IoT (BTP).
2) Performs mapping, routing, validation, enrichment.
3) Handles error handling, retries, and monitoring.
4) Integrates with S/4HANA, ECC, Analytics, Non-SAP apps.
–> Now we will see the what are the usable adapters for the all three integration aspects .
Usable Adapters – SAP IoT Edge
1) OPC-UA (Open Platform Communications Unified Architecture) –> Industrial machines and PLCs.
2) MQTT (Message Queuing Telemetry Transport ) –> Lightweight device messaging.
3) Modbus –> Legacy industrial devices.
4) REST / HTTP –> Smart devices and gateways.
Usable Adapters – SAP IoT (BTP)
MQTT –> Secure device data ingestion
REST / HTTP – > API-based access to IoT data
Event APIs – > Event-driven processing and notifications
Usable Adapters – SAP CPI
HTTP / REST –> Primary IoT integration adapter
OData –> SAP S/4HANA APIs
SOAP –> Legacy web services
RFC / IDoc –> SAP ECC / On-Prem integration
Recommended Architecture (Enterprise Ready/High Volume)
–>ow we going through the Architecture of the integration between SAP IOT EDGE and SAP CPI.
Architecture -1
Alternative Architecture (PoC / Low Volume)
–>Now is the alternative for the above , it will be used only for the POC’s point of view like for the low volumes of data from the IOT devices.
Architecture -2
–> CPI is cloud-only and not suitable for high-volume, real-time device data.
–> It also lacks device management capabilities.
–> Direct integration should be limited to PoC or very low-volume scenarios.
IFLOW DEMO
DEMO IFLOW
–>So, Now we are having a iflow demo here.
–>In this demo I have taken the postman to post the json data with temperatures and first it will convert the json data to xml data.
–> After the conversion, the xml data is routed based on the conditions we provided like when the temperatures are greater than or equal to 90 degrees Centigrade it will be moved to content modifier and the data is modified for the mail payload and sent the alert to the team.(In this I haven’t connected mail).
–>When normal temperatures comes , then the data will be moved to default route.
Key Takeaways
1) IoT Edge = Near the machine.
2) SAP IoT (BTP) = Brain in the cloud.
3) SAP CPI = Messenger to business systems.
4) Using SAP IoT (BTP) in between makes the solution more stable, secure, and enterprise-ready.
Conclusion
A robust IoT integration landscape requires clear separation of responsibilities across layers. SAP IoT Edge manages device-level communication and industrial protocols near the machines, SAP Internet of Things on SAP BTP handles cloud processing, device management, and event exposure, and SAP Cloud Platform Integration integrates IoT data into enterprise systems like SAP S/4HANA.
For enterprise and high-volume scenarios, using SAP IoT (BTP) between IoT Edge and CPI ensures scalability, security, and stability. Direct integration should be reserved for PoC or low-volume use cases.
In today’s industrial landscape, organizations are rapidly adopting IoT-enabled solutions to collect real-time data from machines, sensors, and PLCs. However, collecting device data is only the first step — the real value comes from integrating this data into enterprise systems like ERP, analytics platforms, and business applications.This is where SAP IoT Edge, SAP IoT, and SAP Cloud Platform Integration work together to create a scalable, secure, and enterprise-ready IoT architecture.What is SAP IoT Edge ?1) It is a Edge-side software installed near machines (factory / plant / gateway).2) Collects data from Sensors, PLCs, and industrial machines.3) Supports OPC-UA, MQTT, Modbus, REST Adapters.4) Performs local filtering, aggregation, buffering.5) Works with low-latency and unstable internet.SAP IoT Edge – Role in Integration1) Direct interface to physical devices.2) Handles industrial protocols not supported by CPI.3) Reduces data volume before cloud transmission.4) Ensures reliability and near real-time processing.What is SAP IoT (BTP Services)?1) SAP IOT BTP is a Cloud-based IoT services running on SAP BTP.2) Central IoT platform for device onboarding and management.3) Provides rules, events and APIs.4) Acts as a secure IoT backbone for SAP landscape.SAP IoT (BTP) – Role in Integration1) Manages device lifecycle and security.2) Processes and enriches IoT data in the cloud.3) Triggers rules and events.4) Exposes data via APIs/events for SAP CPI consumption.What is SAP CPI?1) SAP Cloud Platform Integration is a middleware.2) Integrates SAP and non-SAP applications.3) Enterprise-grade integration, monitoring, and governance.4) Does NOT communicate directly with sensors or PLCs.SAP CPI – Role in Integration1) Consumes APIs/events from SAP IoT (BTP).2) Performs mapping, routing, validation, enrichment.3) Handles error handling, retries, and monitoring.4) Integrates with S/4HANA, ECC, Analytics, Non-SAP apps.–> Now we will see the what are the usable adapters for the all three integration aspects .Usable Adapters – SAP IoT Edge1) OPC-UA (Open Platform Communications Unified Architecture) –> Industrial machines and PLCs.2) MQTT (Message Queuing Telemetry Transport ) –> Lightweight device messaging.3) Modbus –> Legacy industrial devices.4) REST / HTTP –> Smart devices and gateways.Usable Adapters – SAP IoT (BTP)MQTT –> Secure device data ingestionREST / HTTP – > API-based access to IoT dataEvent APIs – > Event-driven processing and notificationsUsable Adapters – SAP CPIHTTP / REST –> Primary IoT integration adapterOData –> SAP S/4HANA APIsSOAP –> Legacy web servicesRFC / IDoc –> SAP ECC / On-Prem integrationRecommended Architecture (Enterprise Ready/High Volume)–>ow we going through the Architecture of the integration between SAP IOT EDGE and SAP CPI.Architecture -1 Alternative Architecture (PoC / Low Volume)–>Now is the alternative for the above , it will be used only for the POC’s point of view like for the low volumes of data from the IOT devices.Architecture -2–> CPI is cloud-only and not suitable for high-volume, real-time device data. –> It also lacks device management capabilities.–> Direct integration should be limited to PoC or very low-volume scenarios.IFLOW DEMODEMO IFLOW –>So, Now we are having a iflow demo here.–>In this demo I have taken the postman to post the json data with temperatures and first it will convert the json data to xml data.–> After the conversion, the xml data is routed based on the conditions we provided like when the temperatures are greater than or equal to 90 degrees Centigrade it will be moved to content modifier and the data is modified for the mail payload and sent the alert to the team.(In this I haven’t connected mail).–>When normal temperatures comes , then the data will be moved to default route.Key Takeaways1) IoT Edge = Near the machine.2) SAP IoT (BTP) = Brain in the cloud.3) SAP CPI = Messenger to business systems.4) Using SAP IoT (BTP) in between makes the solution more stable, secure, and enterprise-ready.ConclusionA robust IoT integration landscape requires clear separation of responsibilities across layers. SAP IoT Edge manages device-level communication and industrial protocols near the machines, SAP Internet of Things on SAP BTP handles cloud processing, device management, and event exposure, and SAP Cloud Platform Integration integrates IoT data into enterprise systems like SAP S/4HANA.For enterprise and high-volume scenarios, using SAP IoT (BTP) between IoT Edge and CPI ensures scalability, security, and stability. Direct integration should be reserved for PoC or low-volume use cases. Read More Technology Blog Posts by Members articles
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