Are there really so I guess I could use a really small laptop for this are their any projects like? What's the smallest thing that can run the program successfully?

There are a lot of projects that use a mini itx board in the robot.

The Acer Netbook is a cheap and popular choice (I forget which model), it can also run on Windows Tablets such as the Acer W500. Provided it runs Windows XP, Windows 7 or Windows 8 (preferably 7 or 8 for SAPI), if using the camera it needs a USB port, bluetooth built in or via dongle and that's pretty much it.

Wow I didn't even consider this, granted ill need some heavier duty servo but maybe ill just use a net book motherboard and get all the things I need for it. How much memory do I need to run the program I can't seem to find it on the website(ram and hard drive space)

Which OS do you plan to use? XP needs less memory but offers less function (voice recognition isn't supported although there is a fix on MS website) but Windows 7 and Windows 8 need 2Gb ram but gave longer battery life when I carried out my tests.

As memory is pretty cheap and upgradable on almost all PCs be it laptop, netbook, desktop, nettop, I would say go with a minimum of 2Gb. You wont run out of HDD space if it's dedicated for ARC, OS and software will fit, with plenty of spare space on a 32Gb USB drive, I think (not 100% sure) 20Gb would do too.

Board size 2 1/4 by 3 1/2....not including the 1 5/8 power connector ...mine was laying out on the table

Ok cool and yeah it will be dedicated to the robot. I looking at a 3.5" pico mother board and building it from there