Federation is someone doing a cool card trick at a cocktail party. Does it look cool? Yes. Is anyone going to go out and buy a deck of cards the next morning and learn how to do it? No.
Federation is the core of the internet and that has taken off, so sure they do. Email and phone numbers took off, isolated ISPs all died out.
We're getting some form of federation of messengers and other technology companies deemed "gatekeepers" by the EU. Companies serving large user bases won't have a choice, so there's no need to go out am buy anything.
I think this has "because" and "despite" flipped. The internet took off despite federation, because it let people do things they couldn't otherwise do.
But reinventing something that everyone can already do (eg. tweeting) with federation is not a winning game.
