This is possible, acutually MS has an application block for this issue:
http://msdn.microsoft.com/library/default.asp?url=/library/en-us/dnbda/html/updater.asp
Summary: In medium to large organizations, it is common to want to keep all
instances of a desktop application up to date with the latest version of
executable files, library files, and other files. Ideally, administrators
and support engineers like to deploy the updated files only once, to a
central server, and have the updated files automatically replicate to each
desktop installation. The Updater Application Block is a .NET solution that
provides a "pull model" solution to automatically download application
updates from a central location. It is designed for organizations who want
the rich functionality of Windows Forms applications with the centralized
manageability of Web-based applications, and who do not have the
infrastructural requirements for "push model" solutions such as Microsoft®
Systems Management Server (SMS). By using the Updater Application Block to
download application updates, you can overcome the security "sandbox"
limitations of downloading Windows Forms applications through a browser,
while still maintaining control and security over the application update
process. (9 printed pages)
