Prosody
Prosody is a small and fast XMPP daemon written in Lua. You can install it like this:
sudo apt-get install prosody
Edit the config /etc/prosody/prosody.cfg.lua to make sure you have BOSH support, group rosters and compression enabled, and you probably want self-registration off:
modules_enabled = {
  "compression";
  "bosh";
  "groups";
  ...
}
allow_registration = false;
bosh_ports = { 5280 };
...
Set up a virtual host config for your domain in /etc/prosody/conf.avail/yourdomain.cfg.lua
VirtualHost "yourdomain.com"
    enabled = true
    ssl = {
        key = "/etc/ssl/private/star.yourdomain.com.key";
        certificate = "/etc/ssl/certs/star.yourdomain.com.crt";
    }
-- optional, for IRC-style chatrooms
Component "chatrooms.yourdomain.com" "muc"
    restrict_room_creation = "local"
-- optional, for file transfers
Component "chatproxy.yourdomain.com" "proxy65"
Then enable it with ln -s into /etc/prosody/conf.d
DNS configuration
You need your chat, chatrooms, and chatproxy subdomains to be A records (not CNAME), and you also need 2 SRV records and a TXT record, thus:
_xmpp-client._tcp.yourdomain.com = SRV: 0 5 5222 chat.yourdomain.com _xmpp-server._tcp.yourdomain.com = SRV: 0 5 5269 chat.yourdomain.com TXT: _xmpp-client-xbosh=https://chat.yourdomain.com/http-bind/
Add some users
Add yourself with
sudo prosodyctl adduser yourusername@yourdomain.com
Enabling sane multi-client support
Want persistent message history everywhere, like Hangouts? You'll need:
* XEP-0280 Message Carbons * XEP-0313 Message Archive Management
Luckily, these are all in the community contrib repository:
hg clone https://code.google.com/p/prosody-modules/
Then copy mod_mam* mod_carbons* into /usr/lib/prosody/modules on your server, and add this to your prosody configuration:
modules_enabled = {
    -- ...
    "mam";
    "mam_archive";
    "mam_muc";
    "carbons";
    "carbons_copies";
    -- ...
}
storage = {
    archive2 = "sql"; -- mam_archive requires SQL storage.
}
default_archive_policy = true;
max_archive_query_results = 100;
-- mam_archive: default conversation term, in seconds (default: 1 day)
--archive_conversation_interval = 86400;
Links
More docs at