I was thinking of implementing real time chat using a PHP backend, but I ran across this comment on a site discussing comet:
My understanding is that
You could use Nginx and JavaScript to implement a Comet based chat system that is very scalable with little memory or CPU utilization.
I have a very simple example here that can get you started. It covers compiling Nginx with the NHPM module and includes code for simple publisher/subscriber roles in jQuery, PHP, and Bash.
http://blog.jamieisaacs.com/2010/08/27/comet-with-nginx-and-jquery/