Team Foundation Server is ideal for geographically distributed teams because of its server-based nature. The communication algorithms in Team Foundation Server account for latency between distributed sites and provide a caching proxy to minimize network traffic between these sites. Only the changes to these assets incur network traffic; all other operations are serviced by the local cache.
One of the biggest advantages that both data and output caching provide to the Web developer is the ability to avoid incurring the cost of processing or retrieving expensive resources on each request. One of the most expensive resources is the trip to the database, so caching is especially useful for storing in-memory copies of datasets or cached versions of pages that are data driven.
Visual Studio Team Foundation Server addresses the main benefits of replication—performance and reliability—without introducing actual replication and its associated problems.
This increases the performance and scalability of the system. Performance improves because you're serving content from memory, rather than from databases or re-processed pages; scalability improves because you're no longer expecting the processor and file system (or database) to be accessed for every page request.