We created software and we wanted it to be secure (by ourselves). When it came to FIPS compliance, we had to pay for certification, but we were already compliant anyway, so it was only procedure.
It's definitely not as strict as the latest developments in crypto would demand, but it does cover the product in its entirety. Like, oh, you have encryption, but you have a backdoor here: not FIPS-2 compliant.
So, yes, plenty of software and products are FIPS compliant. And if it's mandated, then the provider is not chosen.