For the most part it seems, at least to me, that the selection is heavily weighted towards those that give presentations at the major events and write books/articles. Also, it's interesting this year that a lot of new MVPs put most of their effort primarily into .NET (VFP toolkit, etc.). Just an observation...
>> What is MVP?
>From http://mvp.support.microsoft.com/
>"The Microsoft MVP Program is an exciting medium to identify, recognize and reward individuals who voluntarily share their knowledge and expertise with other Microsoft customers. MVPs make an invaluable contribution towards making user experience with Microsoft products a more successful, effective and beneficial experience. MVPs are nominated by their peers and Microsoft gives the MVP award every year based on the person's technical ability, spirit of a Microsoft community and an approach to help Microsoft users with their questions on Microsoft products by providing reliable and accurate answers."
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>> Is MS evaluating delivered VFP projects to prospect for MVP's.
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>No. The award is mainly for assiting other with VFP.
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>> How does MS know who the MVPs are?
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>Not sure if this is retorical. They know who they are because they choose them.