Skype has launched a new app for iPhone and iPod touch, that allows users to make free video calls over Wi-Fi and 3G connections.
The new app steals a significant march on Apple's own video conferencing service FaceTime which offers Apple to Apple calls over Wi-Fi. That service was launched six months ago with the iPhone 4 and incorporated into the new 4th Gen iPod touch.
The new Skype app has two major advantages over Apple's own service. It can make on-the-go 3G calls, and users can call any other device with a Skype application, allowing iPhone to PC laptop video calling for the first time.
FaceTime has struggled to gain traction thanks mainly to Apple's unwillingness to open it up to more platforms and work out deals with service providers that would allow calls to be made over mobile networks.
The announcement represents a very strong end to 2010 for the world's forefront VoIP service, after a major outage last week saw millions struggle with their connections for over 24 hours.
What now is the future for FaceTime?