Federation
From StatusNet
In the case of identi.ca, or better StatusNet, the software behind the services at identi.ca, federation means, that everybody can set up her own StatusNet server. From that server you can subscribe to anybody on a compatible server (i.e. another StatusNet server like identi.ca). It's somewhat like you know from emails today which can be send from one provider to another
While subscribing to an account works federated among StatusNet servers, groups do not. So if you are on another server then identi.ca you cannot be member of the !statusnet group at identi.ca for example.
Also direct notices between users of different StatusNet servers does not work.
See also OStatus for more information on the protocol enabling this.
See here for a list of already existing StatusNet servers around the world.

