According to Richard Wallace, chatbots development faced three phases over the past 60 years. In the beginning, chatbot only simulated human-human conversations, using canned responses based on keywords, and it had almost no intelligence. Second phase of development was strictly associated with the expansion of Internet, thanks to which a chatbot was widely accessed and chatted with thousands of users. Then, the first commercial chatbot developers appeared. The third wave of chatbots development is combined with advanced technologies such as natural language processing, speech synthesis and real-time rendering videos. It comprises of chatbot appearing within web pages, instant messaging, and virtual worlds.

Sometimes it is hard to discover if a conversational partner on the other end is a real person or a chatbot. In fact, it is getting harder as technology progresses. A well-known way to measure the chatbot intelligence in a more or less objective manner is the so-called Turing Test. This test determines how well a chatbot is capable of appearing like a real person by giving responses indistinguishable from a human’s response.
One pertinent field of AI research is natural language processing. Usually, weak AI fields employ specialized software or programming languages created specifically for the narrow function required. For example, A.L.I.C.E. uses a markup language called AIML, which is specific to its function as a conversational agent, and has since been adopted by various other developers of, so called, Alicebots. Nevertheless, A.L.I.C.E. is still purely based on pattern matching techniques without any reasoning capabilities, the same technique ELIZA was using back in 1966. This is not strong AI, which would require sapience and logical reasoning abilities.
Other article spinners also require that you enter your own custom synonyms manually or individually approve lists of potential synonyms as they are presented to you. This is another way of expecting you to do most of thinking, as opposed to expecting the software to be smart enough to instantly make judgment calls for you. Thus, one of Spinbot's main goals is to make the article spinning process as quick and painless as possible.
Pop-culture references to Skynet and a forthcoming “war against the machines” are perhaps a little too common in articles about AI (including this one and Larry’s post about Google’s RankBrain tech), but they do raise somewhat uncomfortable questions about the unexpected side of developing increasingly sophisticated AI constructs – including seemingly harmless chatbots.
In 1950, Alan Turing's famous article "Computing Machinery and Intelligence" was published,[7] which proposed what is now called the Turing test as a criterion of intelligence. This criterion depends on the ability of a computer program to impersonate a human in a real-time written conversation with a human judge, sufficiently well that the judge is unable to distinguish reliably—on the basis of the conversational content alone—between the program and a real human. The notoriety of Turing's proposed test stimulated great interest in Joseph Weizenbaum's program ELIZA, published in 1966, which seemed to be able to fool users into believing that they were conversing with a real human. However Weizenbaum himself did not claim that ELIZA was genuinely intelligent, and the introduction to his paper presented it more as a debunking exercise:
ALICE – which stands for Artificial Linguistic Internet Computer Entity, an acronym that could have been lifted straight out of an episode of The X-Files – was developed and launched by creator Dr. Richard Wallace way back in the dark days of the early Internet in 1995. (As you can see in the image above, the website’s aesthetic remains virtually unchanged since that time, a powerful reminder of how far web design has come.) 
The “stand-alone” application, where the chatbot runs on a single computer, integrates mostly some sort of system interface, allowing your chatbot to control certain aspects and functions of your computer, such as playing media files, or retrieving documents. It usually also has a graphical component built in, as well, in the form of an avatar (often female) that enhances interaction, thus improving user’s experience.
There is also the option to spin capitalized words (assumed to be proper nouns) as well as leave any number of words unchanged, depending on whatever you enter into the "ignore" field, separated by commas. You also have the option to only keep the sentences that were altered a minimum percentage, as indicated by the "Keep Sentences that Changed" option.
Since the steep rise of available hardware and software platforms lately, nowadays chatbots are available everywhere. Originally, they were very tight to computers, then exchangeable through tapes, discs and floppy discs, but since the Internet era they have been widespread. For example ancient chatbot Eliza is now also available on iPhone, while famous chatbot A.L.I.C.E. is available on Facebook.
Along with the continued development of our avatars, we are also investigating machine learning and deep learning techniques, and working on the creation of a short term memory for our bots. This will allow humans interacting with our AI to develop genuine human-like relationships with their bot; any personal information that is exchanged will be remembered by the bot and recalled in the correct context at the appropriate time. The bots will get to know their human companion, and utilise this knowledge to form warmer and more personal interactions.

Companies and customers can benefit from internet bots. Internet bots are allowing customers to communicate with companies without having to communicate with a person. KLM Royal Dutch Airlines has produced a chatbot that allows customers to receive boarding passes, check in reminders, and other information that is needed for a flight.[10] Companies have made chatbots that can benefit customers. Customer engagement has grown since these chatbots have been developed.
Have you ever dreamed about creating your own chat bot that asks users a few simple questions and, based on human replies, creates new questions to continue the conversation, possibly an endless conversation? Have you thought about putting this chat bot on your Facebook page? Nothing simpler than creating a chat bot by reading and following this step-by-step guide Writing your first Facebook chat bot in PHP using Jaxl library written by a PHP developer Abhinav Singh.
ELIZA's key method of operation (copied by chatbot designers ever since) involves the recognition of clue words or phrases in the input, and the output of corresponding pre-prepared or pre-programmed responses that can move the conversation forward in an apparently meaningful way (e.g. by responding to any input that contains the word 'MOTHER' with 'TELL ME MORE ABOUT YOUR FAMILY').[9] Thus an illusion of understanding is generated, even though the processing involved has been merely superficial. ELIZA showed that such an illusion is surprisingly easy to generate, because human judges are so ready to give the benefit of the doubt when conversational responses are capable of being interpreted as "intelligent".
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