Or perhaps WHO are these Windows Live Agents I keep hearing about?
Glen Allison from the Windows Live Agents team in Silicon Valley answers this question for me and talks about how you can go about creating your very own automated chat-bot.
Windows Live Agents: http://agents.live.com/
SDK Info: http://dev.live.com/agents/
Team Blog: http://windowsliveagents.spaces.live.com/List of Windows Live Agents on WL Gallery