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Chatbots have become an essential tool for businesses, organizations, and people looking to improve customer interactions, streamline processes, and increase overall efficiency. This article explores the development, functionalities, and impact of modern-day chatbots, tracing their evolution from basic rule-based systems to sophisticated AI-powered entities. It also looks at the history of chatbots, starting with Joseph Weizenbaum’s ELIZA in 1966, and the emergence of rule-based systems in the subsequent decades.