Google Wave may be about to open up its servers for federation, if reports from TheNextWeb are correct. If true, it would mean that businesses and corporations will imminently be able to download everything they need to run their own Google Wave server.

If that's a little confusing, then think about how companies generally run their own email servers to make in-house communication more efficient. An email server in-house (rather than on the Web) means that business will spend less on data costs and talking to people, using the same server will be lightning-fast.

Those servers can also talk to the outside world, though, like email. In that case, the communication would run at normal speed. Wave has been designed from the ground up to incorporate this "federated" nature. Lars Rasmussen, one of the inventors of the service, told TheNextWeb that the sandbox infrastructure currently available to developers will be opened up very soon.

The team has also demoed a terminal-based Wave client, and published a Wave Federation Protocol and Conversation Model. That'll allow company tech departments to begin to get their heads around what this could entail for intra-office communication.