So, say you're a developer and your thinking "gosh [like developers would say 'gosh'. How about OMG!], what If I could host IIS 7 in my application rather than have my application delivered by IIS 7".
IIS 7 has a feature that virtually no one has heard of called the hostable web core. It's purely a Developer feature but has a ton of potential so check out this blog post that has the most info released to date.
http://blogs.iis.net/ksingla/archive/2007/12/20/ins-amp-outs-of-hostable-web-core.aspx
Enjoy!
Brett