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Team Foundation is a set of tools and technologies that enable a team to collaborate and coordinate their efforts on building a product or completing a project and resources to success. The team foundation server hosting enhances team communication, tracks work status, supports team roles, enacts the team process, and integrates team tools. Tools like source control, permission management, team build, and MS Project integration make it easy to stay on track and deliver. It is available either as stand-alone software, or as the server side back end platform for Visual Studio Team System.

By the way, software as a service tfs works in a three-tier architecture. The client tier is used for creating and managing projects and accessing the items that are stored and managed for a project. TFS management applications like the included Team Foundation Client. The web services are in the application layer. The document repository is used for both project items and the revisions tracked, as well as for aggregated data and generated reports. The data layer, essentially a SQL Server Standard Edition installation, provides the persistent data storage services for the document repository. The data tier and application tier can exist on different physical or virtual servers as well, provided they are running Windows Server. Find more information about hosting with tfs hosting.