diff --git a/docs/generated/packages/angular/executors/module-federation-dev-server.json b/docs/generated/packages/angular/executors/module-federation-dev-server.json
index 73ee722d00..93ccfb897b 100644
--- a/docs/generated/packages/angular/executors/module-federation-dev-server.json
+++ b/docs/generated/packages/angular/executors/module-federation-dev-server.json
@@ -112,6 +112,16 @@
       "pathToManifestFile": {
         "type": "string",
         "description": "Path to a Module Federation manifest file (e.g. `my/path/to/module-federation.manifest.json`) containing the dynamic remote applications relative to the workspace root."
+      },
+      "static": {
+        "type": "boolean",
+        "description": "Whether to use a static file server instead of the webpack-dev-server. This should be used for remote applications that are also host applications."
+      },
+      "isInitialHost": {
+        "type": "boolean",
+        "description": "Whether the host that is running this executor is the first in the project tree to do so.",
+        "default": true,
+        "x-priority": "internal"
       }
     },
     "additionalProperties": false,
diff --git a/docs/generated/packages/react/executors/module-federation-dev-server.json b/docs/generated/packages/react/executors/module-federation-dev-server.json
index 7a346ba1dd..226b164965 100644
--- a/docs/generated/packages/react/executors/module-federation-dev-server.json
+++ b/docs/generated/packages/react/executors/module-federation-dev-server.json
@@ -90,6 +90,16 @@
       "baseHref": {
         "type": "string",
         "description": "Base url for the application being built."
+      },
+      "static": {
+        "type": "boolean",
+        "description": "Whether to use a static file server instead of the webpack-dev-server. This should be used for remote applications that are also host applications."
+      },
+      "isInitialHost": {
+        "type": "boolean",
+        "description": "Whether the host that is running this executor is the first in the project tree to do so.",
+        "default": true,
+        "x-priority": "internal"
       }
     },
     "presets": []
diff --git a/e2e/angular-core/src/module-federation.test.ts b/e2e/angular-core/src/module-federation.test.ts
index 4cea70b1eb..97f0bde368 100644
--- a/e2e/angular-core/src/module-federation.test.ts
+++ b/e2e/angular-core/src/module-federation.test.ts
@@ -385,4 +385,97 @@ describe('Angular Module Federation', () => {
       await killProcessAndPorts(hostE2eResults.pid);
     }
   }, 500_000);
+
+  it('should federate a module from a library and create a remote that is served recursively', async () => {
+    const lib = uniq('lib');
+    const remote = uniq('remote');
+    const childRemote = uniq('childremote');
+    const module = uniq('module');
+    const host = uniq('host');
+
+    runCLI(
+      `generate @nx/angular:host ${host} --remotes=${remote} --no-interactive --projectNameAndRootFormat=as-provided`
+    );
+
+    runCLI(
+      `generate @nx/js:lib ${lib} --no-interactive --projectNameAndRootFormat=as-provided`
+    );
+
+    // Federate Module
+    runCLI(
+      `generate @nx/angular:federate-module ${module} --remote=${childRemote} --path=${lib}/src/index.ts --no-interactive`
+    );
+
+    updateFile(`${lib}/src/index.ts`, `export { isEven } from './lib/${lib}';`);
+    updateFile(
+      `${lib}/src/lib/${lib}.ts`,
+      `export function isEven(num: number) { return num % 2 === 0; }`
+    );
+
+    // Update Host to use the module
+    updateFile(
+      `${remote}/src/app/remote-entry/entry.component.ts`,
+      `
+      import { Component } from '@angular/core';
+      import { isEven } from '${childRemote}/${module}';
+
+      @Component({
+        selector: 'proj-${remote}-entry',
+        template: \`<div class="childremote">{{title}}</div>\`
+      })
+      export class RemoteEntryComponent {
+        title = \`shell is \${isEven(2) ? 'even' : 'odd'}\`;
+      }`
+    );
+
+    updateFile(
+      `${remote}/module-federation.config.ts`,
+      `
+      import { ModuleFederationConfig } from '@nx/webpack';
+
+      const config: ModuleFederationConfig = {
+        name: '${remote}',
+        remotes: ['${childRemote}'],
+        exposes: {
+          './Module': '${remote}/src/app/remote-entry/entry.module.ts',
+        },
+      };
+
+      export default config;`
+    );
+
+    // Update e2e test to check the module
+    updateFile(
+      `${host}-e2e/src/e2e/app.cy.ts`,
+      `
+      describe('${host}', () => {
+        beforeEach(() => cy.visit('/${remote}'));
+      
+        it('should display contain the remote library', () => {
+          expect(cy.get('div.childremote')).to.exist;
+          expect(cy.get('div.childremote').contains('shell is even'));
+        });
+      });
+      
+      `
+    );
+
+    // Build host and remote
+    const buildOutput = await runCommandUntil(`build ${host}`, (output) =>
+      output.includes('Successfully ran target build')
+    );
+    await killProcessAndPorts(buildOutput.pid);
+    const remoteOutput = await runCommandUntil(`build ${remote}`, (output) =>
+      output.includes('Successfully ran target build')
+    );
+    await killProcessAndPorts(remoteOutput.pid);
+
+    if (runE2ETests()) {
+      const hostE2eResults = await runCommandUntil(
+        `e2e ${host}-e2e --no-watch --verbose`,
+        (output) => output.includes('All specs passed!')
+      );
+      await killProcessAndPorts(hostE2eResults.pid);
+    }
+  }, 500_000);
 });
diff --git a/e2e/react-core/src/react-module-federation.test.ts b/e2e/react-core/src/react-module-federation.test.ts
index 63c97f8a63..5f8831212c 100644
--- a/e2e/react-core/src/react-module-federation.test.ts
+++ b/e2e/react-core/src/react-module-federation.test.ts
@@ -549,6 +549,89 @@ describe('React Module Federation', () => {
       }
     }, 500_000);
 
+    it('should federate a module from a library and create a remote and serve it recursively', async () => {
+      const lib = uniq('lib');
+      const remote = uniq('remote');
+      const childRemote = uniq('childremote');
+      const module = uniq('module');
+      const host = uniq('host');
+
+      runCLI(
+        `generate @nx/react:host ${host} --remotes=${remote} --no-interactive --projectNameAndRootFormat=as-provided`
+      );
+
+      runCLI(
+        `generate @nx/js:lib ${lib} --no-interactive --projectNameAndRootFormat=as-provided`
+      );
+
+      // Federate Module
+      runCLI(
+        `generate @nx/react:federate-module ${module} --remote=${childRemote} --path=${lib}/src/index.ts --no-interactive`
+      );
+
+      updateFile(
+        `${lib}/src/index.ts`,
+        `export { default } from './lib/${lib}';`
+      );
+      updateFile(
+        `${lib}/src/lib/${lib}.ts`,
+        `export default function lib() { return 'Hello from ${lib}'; };`
+      );
+
+      // Update Host to use the module
+      updateFile(
+        `${remote}/src/app/app.tsx`,
+        `
+      import * as React from 'react';
+      import NxWelcome from './nx-welcome';
+      
+      import myLib from '${childRemote}/${module}';
+
+      export function App() {
+        return (
+          <React.Suspense fallback={null}>
+            <div className='remote'>
+            My Remote Library:  { myLib() }
+            </div>
+            <NxWelcome title="Host" />
+          </React.Suspense>
+        );
+      }
+
+      export default App;
+      `
+      );
+
+      // Update e2e test to check the module
+      updateFile(
+        `${host}-e2e/src/e2e/app.cy.ts`,
+        `
+      describe('${host}', () => {
+        beforeEach(() => cy.visit('/${remote}'));
+      
+        it('should display contain the remote library', () => {
+          expect(cy.get('div.remote')).to.exist;
+          expect(cy.get('div.remote').contains('My Remote Library: Hello from ${lib}'));
+        });
+      });
+      
+      `
+      );
+
+      // Build host and remote
+      const buildOutput = runCLI(`build ${host}`);
+      const remoteOutput = runCLI(`build ${remote}`);
+
+      expect(buildOutput).toContain('Successfully ran target build');
+      expect(remoteOutput).toContain('Successfully ran target build');
+
+      if (runE2ETests()) {
+        const hostE2eResults = runCLI(`e2e ${host}-e2e --no-watch --verbose`);
+
+        expect(hostE2eResults).toContain('All specs passed!');
+      }
+    }, 500_000);
+
     describe('Promised based remotes', () => {
       it('should support promised based remotes', async () => {
         const remote = uniq('remote');
diff --git a/packages/angular/package.json b/packages/angular/package.json
index 0d11748b7f..0d5cff872a 100644
--- a/packages/angular/package.json
+++ b/packages/angular/package.json
@@ -64,6 +64,7 @@
     "@nx/js": "file:../js",
     "@nx/eslint": "file:../eslint",
     "@nx/webpack": "file:../webpack",
+    "@nx/web": "file:../web",
     "@nx/workspace": "file:../workspace"
   },
   "peerDependencies": {
diff --git a/packages/angular/src/builders/module-federation-dev-server/module-federation-dev-server.impl.ts b/packages/angular/src/builders/module-federation-dev-server/module-federation-dev-server.impl.ts
index 4cde100752..32b89533dc 100644
--- a/packages/angular/src/builders/module-federation-dev-server/module-federation-dev-server.impl.ts
+++ b/packages/angular/src/builders/module-federation-dev-server/module-federation-dev-server.impl.ts
@@ -1,5 +1,10 @@
 import type { Schema } from './schema';
-import { logger, readCachedProjectGraph, workspaceRoot } from '@nx/devkit';
+import {
+  logger,
+  readCachedProjectGraph,
+  readNxJson,
+  workspaceRoot,
+} from '@nx/devkit';
 import { scheduleTarget } from 'nx/src/adapter/ngcli-adapter';
 import { executeWebpackDevServerBuilder } from '../webpack-dev-server/webpack-dev-server.impl';
 import { readProjectsConfigurationFromProjectGraph } from 'nx/src/project-graph/project-graph';
@@ -11,18 +16,66 @@ import {
 } from '../utilities/module-federation';
 import { existsSync } from 'fs';
 import { extname, join } from 'path';
-import { findMatchingProjects } from 'nx/src/utils/find-matching-projects';
+import {
+  getModuleFederationConfig,
+  getRemotes,
+} from '@nx/webpack/src/utils/module-federation';
+import { fork } from 'child_process';
+import { combineLatest, concatMap, from, switchMap } from 'rxjs';
 
 export function executeModuleFederationDevServerBuilder(
   schema: Schema,
   context: import('@angular-devkit/architect').BuilderContext
-): ReturnType<typeof executeWebpackDevServerBuilder> {
+): ReturnType<typeof executeWebpackDevServerBuilder | any> {
+  const nxBin = require.resolve('nx');
   const { ...options } = schema;
   const projectGraph = readCachedProjectGraph();
   const { projects: workspaceProjects } =
     readProjectsConfigurationFromProjectGraph(projectGraph);
   const project = workspaceProjects[context.target.project];
 
+  const staticFileServer = from(
+    import('@nx/web/src/executors/file-server/file-server.impl')
+  ).pipe(
+    switchMap((fileServerExecutor) =>
+      fileServerExecutor.default(
+        {
+          port: options.port,
+          host: options.host,
+          ssl: options.ssl,
+          buildTarget: options.browserTarget,
+          parallel: false,
+          spa: false,
+          withDeps: false,
+          cors: true,
+        },
+        {
+          projectGraph,
+          root: context.workspaceRoot,
+          target:
+            projectGraph.nodes[context.target.project].data.targets[
+              context.target.target
+            ],
+          targetName: context.target.target,
+          projectName: context.target.project,
+          configurationName: context.target.configuration,
+          cwd: context.currentDirectory,
+          isVerbose: options.verbose,
+          projectsConfigurations:
+            readProjectsConfigurationFromProjectGraph(projectGraph),
+          nxJsonConfiguration: readNxJson(),
+        }
+      )
+    )
+  );
+  const webpackDevServer = executeWebpackDevServerBuilder(options, context);
+
+  const currExecutor = options.static ? staticFileServer : webpackDevServer;
+
+  if (options.isInitialHost === false) {
+    return currExecutor;
+  }
+
   let pathToManifestFile = join(
     context.workspaceRoot,
     project.sourceRoot,
@@ -48,70 +101,107 @@ export function executeModuleFederationDevServerBuilder(
 
   validateDevRemotes(options, workspaceProjects);
 
-  const remotesToSkip = new Set(
-    findMatchingProjects(options.skipRemotes, projectGraph.nodes) ?? []
+  const moduleFederationConfig = getModuleFederationConfig(
+    project.targets.build.options.tsConfig,
+    context.workspaceRoot,
+    project.root,
+    'angular'
   );
 
-  if (remotesToSkip.size > 0) {
-    logger.info(
-      `Remotes not served automatically: ${[...remotesToSkip].join(', ')}`
-    );
-  }
-  const staticRemotes = getStaticRemotes(
-    project,
-    context,
-    workspaceProjects,
-    remotesToSkip
-  );
-  const dynamicRemotes = getDynamicRemotes(
-    project,
-    context,
-    workspaceProjects,
-    remotesToSkip,
+  const remotes = getRemotes(
+    options.devRemotes,
+    options.skipRemotes,
+    moduleFederationConfig,
+    {
+      projectName: project.name,
+      projectGraph,
+      root: context.workspaceRoot,
+    },
     pathToManifestFile
   );
-  const remotes = [...staticRemotes, ...dynamicRemotes];
 
-  const devServeRemotes = !options.devRemotes
-    ? []
-    : Array.isArray(options.devRemotes)
-    ? findMatchingProjects(options.devRemotes, projectGraph.nodes)
-    : findMatchingProjects([options.devRemotes], projectGraph.nodes);
+  let isCollectingStaticRemoteOutput = true;
 
-  for (const remote of remotes) {
-    const isDev = devServeRemotes.includes(remote);
-    const target = isDev ? 'serve' : 'serve-static';
-
-    if (!workspaceProjects[remote].targets?.[target]) {
-      throw new Error(
-        `Could not find "${target}" target in "${remote}" project.`
+  for (const app of remotes.staticRemotes) {
+    const remoteProjectServeTarget =
+      projectGraph.nodes[app].data.targets['serve-static'];
+    const isUsingModuleFederationDevServerExecutor =
+      remoteProjectServeTarget.executor.includes(
+        'module-federation-dev-server'
       );
-    } else if (!workspaceProjects[remote].targets?.[target].executor) {
-      throw new Error(
-        `Could not find executor for "${target}" target in "${remote}" project.`
-      );
-    }
-
-    const runOptions: { verbose?: boolean } = {};
-    if (options.verbose) {
-      const [collection, executor] =
-        workspaceProjects[remote].targets[target].executor.split(':');
-      const { schema } = getExecutorInformation(
-        collection,
-        executor,
-        workspaceRoot
-      );
-
-      if (schema.additionalProperties || 'verbose' in schema.properties) {
-        runOptions.verbose = options.verbose;
+    let outWithErr: null | string[] = [];
+    const staticProcess = fork(
+      nxBin,
+      [
+        'run',
+        `${app}:serve-static${
+          context.target.configuration ? `:${context.target.configuration}` : ''
+        }`,
+        ...(isUsingModuleFederationDevServerExecutor
+          ? [`--isInitialHost=false`]
+          : []),
+      ],
+      {
+        cwd: context.workspaceRoot,
+        stdio: ['ignore', 'pipe', 'pipe', 'ipc'],
       }
+    );
+    staticProcess.stdout.on('data', (data) => {
+      if (isCollectingStaticRemoteOutput) {
+        outWithErr.push(data.toString());
+      } else {
+        outWithErr = null;
+        staticProcess.stdout.removeAllListeners('data');
+      }
+    });
+    staticProcess.stderr.on('data', (data) => logger.info(data.toString()));
+    staticProcess.on('exit', (code) => {
+      if (code !== 0) {
+        logger.info(outWithErr.join(''));
+        throw new Error(`Remote failed to start. See above for errors.`);
+      }
+    });
+    process.on('SIGTERM', () => staticProcess.kill('SIGTERM'));
+    process.on('exit', () => staticProcess.kill('SIGTERM'));
+  }
+
+  const devRemotes$ = [];
+  for (const app of remotes.devRemotes) {
+    if (!workspaceProjects[app].targets?.['serve']) {
+      throw new Error(`Could not find "serve" target in "${app}" project.`);
+    } else if (!workspaceProjects[app].targets?.['serve'].executor) {
+      throw new Error(
+        `Could not find executor for "serve" target in "${app}" project.`
+      );
     }
 
-    scheduleTarget(
+    const runOptions: { verbose?: boolean; isInitialHost?: boolean } = {};
+    const [collection, executor] =
+      workspaceProjects[app].targets['serve'].executor.split(':');
+    const isUsingModuleFederationDevServerExecutor = executor.includes(
+      'module-federation-dev-server'
+    );
+    const { schema } = getExecutorInformation(
+      collection,
+      executor,
+      workspaceRoot
+    );
+    if (
+      (options.verbose && schema.additionalProperties) ||
+      'verbose' in schema.properties
+    ) {
+      runOptions.verbose = options.verbose;
+    }
+
+    if (isUsingModuleFederationDevServerExecutor) {
+      runOptions.isInitialHost = false;
+    }
+
+    const serve$ = scheduleTarget(
       context.workspaceRoot,
       {
-        project: remote,
-        target,
+        project: app,
+        target: 'serve',
         configuration: context.target.configuration,
         runOptions,
       },
@@ -119,13 +209,17 @@ export function executeModuleFederationDevServerBuilder(
     ).then((obs) => {
       obs.toPromise().catch((err) => {
         throw new Error(
-          `Remote '${remote}' failed to serve correctly due to the following: \r\n${err.toString()}`
+          `Remote '${app}' failed to serve correctly due to the following: \r\n${err.toString()}`
         );
       });
     });
+
+    devRemotes$.push(serve$);
   }
 
-  return executeWebpackDevServerBuilder(options, context);
+  return devRemotes$.length > 0
+    ? combineLatest([...devRemotes$]).pipe(concatMap(() => currExecutor))
+    : currExecutor;
 }
 
 export default require('@angular-devkit/architect').createBuilder(
diff --git a/packages/angular/src/builders/module-federation-dev-server/schema.d.ts b/packages/angular/src/builders/module-federation-dev-server/schema.d.ts
index cf3f1ebc52..e99e9ffb80 100644
--- a/packages/angular/src/builders/module-federation-dev-server/schema.d.ts
+++ b/packages/angular/src/builders/module-federation-dev-server/schema.d.ts
@@ -20,4 +20,6 @@ export interface Schema {
   devRemotes?: string[];
   skipRemotes?: string[];
   pathToManifestFile?: string;
+  static?: boolean;
+  isInitialHost?: boolean;
 }
diff --git a/packages/angular/src/builders/module-federation-dev-server/schema.json b/packages/angular/src/builders/module-federation-dev-server/schema.json
index 897762871c..fec21cb4d3 100644
--- a/packages/angular/src/builders/module-federation-dev-server/schema.json
+++ b/packages/angular/src/builders/module-federation-dev-server/schema.json
@@ -122,6 +122,16 @@
     "pathToManifestFile": {
       "type": "string",
       "description": "Path to a Module Federation manifest file (e.g. `my/path/to/module-federation.manifest.json`) containing the dynamic remote applications relative to the workspace root."
+    },
+    "static": {
+      "type": "boolean",
+      "description": "Whether to use a static file server instead of the webpack-dev-server. This should be used for remote applications that are also host applications."
+    },
+    "isInitialHost": {
+      "type": "boolean",
+      "description": "Whether the host that is running this executor is the first in the project tree to do so.",
+      "default": true,
+      "x-priority": "internal"
     }
   },
   "additionalProperties": false,
diff --git a/packages/react/src/executors/module-federation-dev-server/module-federation-dev-server.impl.ts b/packages/react/src/executors/module-federation-dev-server/module-federation-dev-server.impl.ts
index ee765650a4..94d24da781 100644
--- a/packages/react/src/executors/module-federation-dev-server/module-federation-dev-server.impl.ts
+++ b/packages/react/src/executors/module-federation-dev-server/module-federation-dev-server.impl.ts
@@ -6,22 +6,24 @@ import {
   runExecutor,
 } from '@nx/devkit';
 import devServerExecutor from '@nx/webpack/src/executors/dev-server/dev-server.impl';
+import fileServerExecutor from '@nx/web/src/executors/file-server/file-server.impl';
 import { WebDevServerOptions } from '@nx/webpack/src/executors/dev-server/schema';
-import { join } from 'path';
+import {
+  getModuleFederationConfig,
+  getRemotes,
+} from '@nx/webpack/src/utils/module-federation';
 import {
   combineAsyncIterables,
   createAsyncIterable,
 } from '@nx/devkit/src/utils/async-iterable';
-import * as chalk from 'chalk';
 import { waitForPortOpen } from '@nx/web/src/utils/wait-for-port-open';
-import { findMatchingProjects } from 'nx/src/utils/find-matching-projects';
 import { fork } from 'child_process';
-import { existsSync } from 'fs';
-import { registerTsProject } from '@nx/js/src/internal';
 
 type ModuleFederationDevServerOptions = WebDevServerOptions & {
-  devRemotes?: string | string[];
+  devRemotes?: string[];
   skipRemotes?: string[];
+  static?: boolean;
+  isInitialHost?: boolean;
 };
 
 function getBuildOptions(buildTarget: string, context: ExecutorContext) {
@@ -34,164 +36,118 @@ function getBuildOptions(buildTarget: string, context: ExecutorContext) {
   };
 }
 
-function getModuleFederationConfig(
-  tsconfigPath: string,
-  workspaceRoot: string,
-  projectRoot: string
-) {
-  const moduleFederationConfigPathJS = join(
-    workspaceRoot,
-    projectRoot,
-    'module-federation.config.js'
-  );
-
-  const moduleFederationConfigPathTS = join(
-    workspaceRoot,
-    projectRoot,
-    'module-federation.config.ts'
-  );
-
-  let moduleFederationConfigPath = moduleFederationConfigPathJS;
-
-  // create a no-op so this can be called with issue
-  const fullTSconfigPath = tsconfigPath.startsWith(workspaceRoot)
-    ? tsconfigPath
-    : join(workspaceRoot, tsconfigPath);
-  let cleanupTranspiler = () => {};
-  if (existsSync(moduleFederationConfigPathTS)) {
-    cleanupTranspiler = registerTsProject(fullTSconfigPath);
-    moduleFederationConfigPath = moduleFederationConfigPathTS;
-  }
-
-  try {
-    const config = require(moduleFederationConfigPath);
-    cleanupTranspiler();
-
-    return config.default || config;
-  } catch {
-    throw new Error(
-      `Could not load ${moduleFederationConfigPath}. Was this project generated with "@nx/react:host"?\nSee: https://nx.dev/concepts/more-concepts/faster-builds-with-module-federation`
-    );
-  }
-}
-
 export default async function* moduleFederationDevServer(
   options: ModuleFederationDevServerOptions,
   context: ExecutorContext
 ): AsyncIterableIterator<{ success: boolean; baseUrl?: string }> {
   const nxBin = require.resolve('nx');
-  const currIter = devServerExecutor(options, context);
+  const currIter = options.static
+    ? fileServerExecutor(
+        {
+          ...options,
+          parallel: false,
+          withDeps: false,
+          spa: false,
+          cors: true,
+        },
+        context
+      )
+    : devServerExecutor(options, context);
+
   const p = context.projectsConfigurations.projects[context.projectName];
   const buildOptions = getBuildOptions(options.buildTarget, context);
 
+  if (!options.isInitialHost) {
+    return yield* currIter;
+  }
+
   const moduleFederationConfig = getModuleFederationConfig(
     buildOptions.tsConfig,
     context.root,
-    p.root
+    p.root,
+    'react'
   );
 
-  const remotesToSkip = new Set(
-    findMatchingProjects(options.skipRemotes, context.projectGraph.nodes) ?? []
-  );
-
-  if (remotesToSkip.size > 0) {
-    logger.info(
-      `Remotes not served automatically: ${[...remotesToSkip.values()].join(
-        ', '
-      )}`
-    );
-  }
-  const remotesNotInWorkspace: string[] = [];
-
-  const knownRemotes = (moduleFederationConfig.remotes ?? []).filter((r) => {
-    const validRemote = Array.isArray(r) ? r[0] : r;
-
-    if (remotesToSkip.has(validRemote)) {
-      return false;
-    } else if (!context.projectGraph.nodes[validRemote]) {
-      remotesNotInWorkspace.push(validRemote);
-      return false;
-    } else {
-      return true;
+  const remotes = getRemotes(
+    options.devRemotes,
+    options.skipRemotes,
+    moduleFederationConfig,
+    {
+      projectName: context.projectName,
+      projectGraph: context.projectGraph,
+      root: context.root,
     }
-  });
-
-  if (remotesNotInWorkspace.length > 0) {
-    logger.warn(
-      `Skipping serving ${remotesNotInWorkspace.join(
-        ', '
-      )} as they could not be found in the workspace. Ensure they are served correctly.`
-    );
-  }
-
-  const remotePorts = knownRemotes.map(
-    (r) => context.projectGraph.nodes[r].data.targets['serve'].options.port
   );
 
-  const devServeApps = !options.devRemotes
-    ? []
-    : Array.isArray(options.devRemotes)
-    ? findMatchingProjects(options.devRemotes, context.projectGraph.nodes)
-    : findMatchingProjects([options.devRemotes], context.projectGraph.nodes);
-
-  logger.info(
-    `NX Starting module federation dev-server for ${chalk.bold(
-      context.projectName
-    )} with ${knownRemotes.length} remotes`
-  );
-
-  const devRemoteIters: AsyncIterable<{ success: boolean }>[] = [];
   let isCollectingStaticRemoteOutput = true;
+  const devRemoteIters: AsyncIterable<{ success: boolean }>[] = [];
 
-  for (const app of knownRemotes) {
-    const appName = Array.isArray(app) ? app[0] : app;
-    if (devServeApps.includes(appName)) {
-      devRemoteIters.push(
-        await runExecutor(
-          {
-            project: appName,
-            target: 'serve',
-            configuration: context.configurationName,
-          },
-          {
-            watch: true,
-          },
-          context
-        )
+  for (const app of remotes.devRemotes) {
+    const remoteProjectServeTarget =
+      context.projectGraph.nodes[app].data.targets['serve'];
+    const isUsingModuleFederationDevServerExecutor =
+      remoteProjectServeTarget.executor.includes(
+        'module-federation-dev-server'
       );
-    } else {
-      let outWithErr: null | string[] = [];
-      const staticProcess = fork(
-        nxBin,
-        [
-          'run',
-          `${appName}:serve-static${
-            context.configurationName ? `:${context.configurationName}` : ''
-          }`,
-        ],
+
+    devRemoteIters.push(
+      await runExecutor(
         {
-          cwd: context.root,
-          stdio: ['ignore', 'pipe', 'pipe', 'ipc'],
-        }
+          project: app,
+          target: 'serve',
+          configuration: context.configurationName,
+        },
+        {
+          watch: true,
+          ...(isUsingModuleFederationDevServerExecutor
+            ? { isInitialHost: false }
+            : {}),
+        },
+        context
+      )
+    );
+  }
+  for (const app of remotes.staticRemotes) {
+    const remoteProjectServeTarget =
+      context.projectGraph.nodes[app].data.targets['serve-static'];
+    const isUsingModuleFederationDevServerExecutor =
+      remoteProjectServeTarget.executor.includes(
+        'module-federation-dev-server'
       );
-      staticProcess.stdout.on('data', (data) => {
-        if (isCollectingStaticRemoteOutput) {
-          outWithErr.push(data.toString());
-        } else {
-          outWithErr = null;
-          staticProcess.stdout.removeAllListeners('data');
-        }
-      });
-      staticProcess.stderr.on('data', (data) => logger.info(data.toString()));
-      staticProcess.on('exit', (code) => {
-        if (code !== 0) {
-          logger.info(outWithErr.join(''));
-          throw new Error(`Remote failed to start. See above for errors.`);
-        }
-      });
-      process.on('SIGTERM', () => staticProcess.kill('SIGTERM'));
-      process.on('exit', () => staticProcess.kill('SIGTERM'));
-    }
+    let outWithErr: null | string[] = [];
+    const staticProcess = fork(
+      nxBin,
+      [
+        'run',
+        `${app}:serve-static${
+          context.configurationName ? `:${context.configurationName}` : ''
+        }`,
+        ...(isUsingModuleFederationDevServerExecutor
+          ? [`--isInitialHost=false`]
+          : []),
+      ],
+      {
+        cwd: context.root,
+        stdio: ['ignore', 'pipe', 'pipe', 'ipc'],
+      }
+    );
+    staticProcess.stdout.on('data', (data) => {
+      if (isCollectingStaticRemoteOutput) {
+        outWithErr.push(data.toString());
+      } else {
+        outWithErr = null;
+        staticProcess.stdout.removeAllListeners('data');
+      }
+    });
+    staticProcess.stderr.on('data', (data) => logger.info(data.toString()));
+    staticProcess.on('exit', (code) => {
+      if (code !== 0) {
+        logger.info(outWithErr.join(''));
+        throw new Error(`Remote failed to start. See above for errors.`);
+      }
+    });
+    process.on('SIGTERM', () => staticProcess.kill('SIGTERM'));
+    process.on('exit', () => staticProcess.kill('SIGTERM'));
   }
 
   return yield* combineAsyncIterables(
@@ -199,13 +155,17 @@ export default async function* moduleFederationDevServer(
     ...devRemoteIters,
     createAsyncIterable<{ success: true; baseUrl: string }>(
       async ({ next, done }) => {
-        if (remotePorts.length === 0) {
+        if (!options.isInitialHost) {
+          done();
+          return;
+        }
+        if (remotes.remotePorts.length === 0) {
           done();
           return;
         }
         try {
           await Promise.all(
-            remotePorts.map((port) =>
+            remotes.remotePorts.map((port) =>
               // Allow 20 minutes for each remote to start, which is plenty of time but we can tweak it later if needed.
               // Most remotes should start in under 1 minute.
               waitForPortOpen(port, {
diff --git a/packages/react/src/executors/module-federation-dev-server/schema.json b/packages/react/src/executors/module-federation-dev-server/schema.json
index 59cc7679d6..9ae43269b1 100644
--- a/packages/react/src/executors/module-federation-dev-server/schema.json
+++ b/packages/react/src/executors/module-federation-dev-server/schema.json
@@ -91,6 +91,16 @@
     "baseHref": {
       "type": "string",
       "description": "Base url for the application being built."
+    },
+    "static": {
+      "type": "boolean",
+      "description": "Whether to use a static file server instead of the webpack-dev-server. This should be used for remote applications that are also host applications."
+    },
+    "isInitialHost": {
+      "type": "boolean",
+      "description": "Whether the host that is running this executor is the first in the project tree to do so.",
+      "default": true,
+      "x-priority": "internal"
     }
   }
 }
diff --git a/packages/webpack/src/utils/module-federation/get-remotes-for-host.ts b/packages/webpack/src/utils/module-federation/get-remotes-for-host.ts
new file mode 100644
index 0000000000..99d35cfffb
--- /dev/null
+++ b/packages/webpack/src/utils/module-federation/get-remotes-for-host.ts
@@ -0,0 +1,168 @@
+import { logger, type ProjectGraph } from '@nx/devkit';
+import { registerTsProject } from '@nx/js/src/internal';
+import { findMatchingProjects } from 'nx/src/utils/find-matching-projects';
+import * as chalk from 'chalk';
+import { join } from 'path';
+import { existsSync, readFileSync } from 'fs';
+import { ModuleFederationConfig } from './models/index';
+
+interface ModuleFederationExecutorContext {
+  projectName: string;
+  projectGraph: ProjectGraph;
+  root: string;
+}
+
+function extractRemoteProjectsFromConfig(
+  config: ModuleFederationConfig,
+  pathToManifestFile?: string
+) {
+  const remotes = [];
+  if (pathToManifestFile && existsSync(pathToManifestFile)) {
+    const moduleFederationManifestJson = readFileSync(
+      pathToManifestFile,
+      'utf-8'
+    );
+
+    if (moduleFederationManifestJson) {
+      // This should have shape of
+      // {
+      //   "remoteName": "remoteLocation",
+      // }
+      const parsedManifest = JSON.parse(moduleFederationManifestJson);
+      if (
+        Object.keys(parsedManifest).every(
+          (key) =>
+            typeof key === 'string' && typeof parsedManifest[key] === 'string'
+        )
+      ) {
+        remotes.push(Object.keys(parsedManifest));
+      }
+    }
+  }
+  const staticRemotes =
+    config.remotes?.map((r) => (Array.isArray(r) ? r[0] : r)) ?? [];
+  remotes.push(...staticRemotes);
+  return remotes;
+}
+
+function collectRemoteProjects(
+  remote: string,
+  collected: Set<string>,
+  context: ModuleFederationExecutorContext
+) {
+  const remoteProject = context.projectGraph.nodes[remote]?.data;
+  if (!context.projectGraph.nodes[remote] || collected.has(remote)) {
+    return;
+  }
+
+  collected.add(remote);
+
+  const remoteProjectRoot = remoteProject.root;
+  const remoteProjectTsConfig = remoteProject.targets['build'].options.tsConfig;
+  const remoteProjectConfig = getModuleFederationConfig(
+    remoteProjectTsConfig,
+    context.root,
+    remoteProjectRoot
+  );
+  const remoteProjectRemotes =
+    extractRemoteProjectsFromConfig(remoteProjectConfig);
+
+  remoteProjectRemotes.forEach((r) =>
+    collectRemoteProjects(r, collected, context)
+  );
+}
+
+export function getRemotes(
+  devRemotes: string[],
+  skipRemotes: string[],
+  config: ModuleFederationConfig,
+  context: ModuleFederationExecutorContext,
+  pathToManifestFile?: string
+) {
+  const collectedRemotes = new Set<string>();
+  const remotes = extractRemoteProjectsFromConfig(config, pathToManifestFile);
+  remotes.forEach((r) => collectRemoteProjects(r, collectedRemotes, context));
+  const remotesToSkip = new Set(
+    findMatchingProjects(skipRemotes, context.projectGraph.nodes) ?? []
+  );
+
+  if (remotesToSkip.size > 0) {
+    logger.info(
+      `Remotes not served automatically: ${[...remotesToSkip.values()].join(
+        ', '
+      )}`
+    );
+  }
+
+  const knownRemotes = Array.from(collectedRemotes).filter(
+    (r) => !remotesToSkip.has(r)
+  );
+
+  logger.info(
+    `NX Starting module federation dev-server for ${chalk.bold(
+      context.projectName
+    )} with ${knownRemotes.length} remotes`
+  );
+
+  const devServeApps = new Set(
+    !devRemotes
+      ? []
+      : Array.isArray(devRemotes)
+      ? findMatchingProjects(devRemotes, context.projectGraph.nodes)
+      : findMatchingProjects([devRemotes], context.projectGraph.nodes)
+  );
+
+  const staticRemotes = knownRemotes.filter((r) => !devServeApps.has(r));
+  const devServeRemotes = knownRemotes.filter((r) => devServeApps.has(r));
+  const remotePorts = knownRemotes.map(
+    (r) => context.projectGraph.nodes[r].data.targets['serve'].options.port
+  );
+
+  return {
+    staticRemotes,
+    devRemotes: devServeRemotes,
+    remotePorts,
+  };
+}
+
+export function getModuleFederationConfig(
+  tsconfigPath: string,
+  workspaceRoot: string,
+  projectRoot: string,
+  pluginName: 'react' | 'angular' = 'react'
+) {
+  const moduleFederationConfigPathJS = join(
+    workspaceRoot,
+    projectRoot,
+    'module-federation.config.js'
+  );
+
+  const moduleFederationConfigPathTS = join(
+    workspaceRoot,
+    projectRoot,
+    'module-federation.config.ts'
+  );
+
+  let moduleFederationConfigPath = moduleFederationConfigPathJS;
+
+  // create a no-op so this can be called with issue
+  const fullTSconfigPath = tsconfigPath.startsWith(workspaceRoot)
+    ? tsconfigPath
+    : join(workspaceRoot, tsconfigPath);
+  let cleanupTranspiler = () => {};
+  if (existsSync(moduleFederationConfigPathTS)) {
+    cleanupTranspiler = registerTsProject(fullTSconfigPath);
+    moduleFederationConfigPath = moduleFederationConfigPathTS;
+  }
+
+  try {
+    const config = require(moduleFederationConfigPath);
+    cleanupTranspiler();
+
+    return config.default || config;
+  } catch {
+    throw new Error(
+      `Could not load ${moduleFederationConfigPath}. Was this project generated with "@nx/${pluginName}:host"?\nSee: https://nx.dev/concepts/more-concepts/faster-builds-with-module-federation`
+    );
+  }
+}
diff --git a/packages/webpack/src/utils/module-federation/index.ts b/packages/webpack/src/utils/module-federation/index.ts
index afe418c156..d8ccb8fd03 100644
--- a/packages/webpack/src/utils/module-federation/index.ts
+++ b/packages/webpack/src/utils/module-federation/index.ts
@@ -3,3 +3,4 @@ export * from './dependencies';
 export * from './package-json';
 export * from './remotes';
 export * from './models';
+export * from './get-remotes-for-host';