Skype and video conferencing are a match made in heaven, so it's a wonder it took so damn long for integrated video conferencing in the Skype client. The Skype video feature comes not via Skype, but rather courtesy of a third-party plugin from DialCom Networks.
Dialcom's Spontania video plug-in is designed to be integrated with any 3rd party Internet-based communication solution.
Dialcom selected Skype, a premiere VoIP solution, as the first integration candidate. The product is called "Spontania video4skype" and best of all it's free. I'm not sure how they will make money off of "free", but perhaps like the "Skype" model they will have a "free" version and a "paid version" later on. For now go download the free Spontania video4skype while you still can!
Skype now has their own built-in video conferencing.