As others have said, you should not do any new development using Service Connect, even if you are staying on-Prem… Service connect is NOT End-Of-Lived YET, but we have removed it from the price list, and we will no longer sell it to new accounts. No new development will be done with it.
Service Connect IS compatible with cloud accounts as long as you use REST calls. You cannot run Service Connect on the Cloud instance. You must install it onto another server (on-prem, or your own cloud server). Therefore i would say that it is “partially” cloud compatible.
As others above reported, the replacement product is Automation Studio. It is an iPaaS product (integration Platform as a Service) and works for BOTH on-prem and cloud. Since it is iPaaS, and uses REST calls, there is a much smaller chance of your customizations breaking with an upgrade (although you should always test!!!).
Someone mentioned Crystal Reports… NOTE that we started replacing Crystal over 10 years ago, and declared it a non-supported product. it was replaced by SSRS. I believe that 10 years is ample time for eveyone to migrate away from Crystal. if you have not done so, you should consider it.