We knew it was going to happen, but we didn't know it'd be this soon. Today Skype released Skype 3.0, which adds support for video chat on iPhone 4, iPhone 3GS, and iPod touch 4th generation. You can grab Skype 3.0 download here.
iPhone 4, iPhone 3GS, and iPod touch 4th generation users can now video chat on Skype over their 3G connections, although using WiFi is recommended for better quality.
iPad users and iPod touch 3rd generation users can receive and view video chat requests from iPhone 4, iPhone 3GS, and iPod touch 4th generation users, however they cannot show their own videos because they don't have a camera.
Skype Video chat is free, but additional data charges may apply depending on the plan you're using. Thankfully I signed up with AT&T early and am on the unlimited data plan, so I don't need to worry about that.
There is no word on when Skype video chat support will come out for Android or other mobile users. I'm sure Skype will be giving us an update on this when they hold their Consumer Electronics Show (CES) event on January 6, 2011.