This makes sense to me. Create an iChat app, WIFI only... that gives you the ability to videochat with other apple devices such as a imac, or ipad in the future. Leave FaceTime for during phone calls only, and with it being open will hopefully lead to being compatable with devices from other companies. And eventually via 3G. This is the only way i see the iPhone 4 being able to use it's front facing camera with other devices that arent phones. Think about it... what are you gonna do? Make a call to someone's mac or ichat then turn on facetime? That's not logical. Hopefully iChat is the next app that will be sold in the APP Store for $4.99.