Microsoft's Brian Goldfarb, Silverlight Team, demonstrated a jaw dropping implementation of Facebook's recently announced API changes.
Goldfarb was presenting at a Facebook Demo day, Cnet news attended and recorded the session (see below). The applications demonstrated were built within 72hrs and Goldfarb confirmed Microsoft will be releasing them shortly. The applications demo'd blow away Facebook's original interface and demonstrate exactly how developers can build some visually rich applications for services like Facebook.
Microsoft and Facebook have been working together since 2007 via the Facebook Developer Toolkit – a first of its kind open source solution to help developers integrate into and build applications for Facebook users. Microsoft and Facebook are certainly forming close business relationships and I would expect the two companies to announce further integration around the Facebook chat to Windows Live Messenger area later this year.
For more information on "Faboolouse" and "Photo Cloud", which are demonstrated below, check out the Silverlight team site.