There has been quite a bit of misinformation posted so far about this topic so I thought I'd try to clear it up:
http://decibel.ni.com/content/docs/DOC-2957
Main thing is, there are two watchdogs. One you shouldn't ever worry about, and the other you should only worry about if you want to (it is optional and configurable)
Check out the doc, let me know if I can clear anything up.