You can see tags created by other people; you can see files tagged by your colleagues. (Of course, you can only see those things if the tag owner has shared the tags with you.)
This can be scaled to handle hundreds of interconnected machines and users: someone can tag a file on one machine, and other people on other machines will instantly see the file tagged.
Due to the centralized nature of Microsoft Sql Server, any user’s tagging operation is immediately written in the central database, so other users can instantly see the update.
For example, if some tags were added to a file by user A, user B will immediately see the tags below the file.