Automatic Updates is a service that is used to automatically connect to Microsoft and download critical updates and update your computer. I, personally, hate this service because this service, basically, grants Microsoft the ability to put something on your system without you knowing about it. What is worse is that in order to use Windows Update, this service has to be on and set to Automatic. Making it a required service is totally unnecessary, and is very unethical.

The Background Intelligent Transfer Service (BITS) transfers data between clients and servers in the background. If BITS is disabled, features such as Windows Update will not work correctly.