The integration of Encarta in the search engine is a good idea but the implementation is a bit weard. Why you can have the answer of the birth of Matisse but not the same for Dali ?
You can have the date of death of Beethoven but not the one of John F. Kennedy ?
Here is the help page for Facts search.
My second impression about MSN Beta Search is it will hurt more AskJeeves at the place of targeting Google or Yahoo!