I video chat 7-8 times a week with my family back in the US for the last several years. I have 5-6 other business chats monthly. I have crappy 512kbps broadband here in India. I use a combination of Skype and iChat with a relatively high end Logitech USB webcam and a Mac Pro. Skype isn't quite as crisp but the mediocre quality is consistent, iChat is hit and miss. Facetime is considerably better than both. I realize my webcam is only vga (640x480 - same as the front facing iPhone 4 camera, I think) but with my limited bandwidth, I don't think that's the reason for poor performance. I also do Skype now and then from our Unibody MBP and it's not really much of a difference. Facetime, regardless of which camera I use, is a lot better. Both of my late 50s not-too-techy parents commented individually on how much clearer it was on their end - and I have to report the same for me, too. Smoother frame rates, fewer glitches, sharper picture. I guess it should be chalked up to better codecs? Having said all that, my dad and I don't really need extreme closeups of each other to chitchat, so we'll still use Skype most of the time, except if I want to get my kids involved, in which case the rear facing camera is great.. and I was already pretty practiced in tilting the laptop screen just right to walk around the house like a steadycam, great to have a screen instead Anyway, go Apple. Please sell us Retina display & facetime capable iPads, I don't care of it's 7 or 9.7". Knock $100 off and 7" is fine by me.