Jamie had explained the differences between Spaces friends, Messenger buddies, and Hotmail contacts. Since the launch of the new Wave 3 Windows Live Web services with all these newly introduced concepts like People, Profiles, and your Network, you might have been asking some of the following questions:

What's the difference between People in my Network and People on my Profile?
Are Spaces friends part of my Network?
Can someone be a Messenger buddy without being part of my Network or on my Profile?

The answer lies in the following diagram, kindly provided by one of the developers on the Windows Live team (we’ve beefed it up a little with Office 2007).

Source:→ LiveSide