You are correct that you will need a server somewhere to install TeamPulse. It can either be a physical server that is on site, or in a hosted environment, or even in a cloud environment if you wish. Thanks for your interest. We are planning to how have a turnkey cloud based offering in a future release.
All the best,
the Telerik team
Registration for Q1 2011 What’s New Webinar Week is now open. Mark your calendar for the week starting March 21st and book your seat
for a walk through all the exciting stuff we ship with the new release!