Today at the WWDC 2010 keynote (Engadget liveblog) Steve Jobs introduced the iPhone 4 as well as iOS4 and iAds. The event finished up with a video call between Steve Jobs and Joey Ive. The new face-to-face video chat app is called FaceTime.
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Video-calling on the iPhone 4 looks great...but it only works over WiFi. No set-up is required, and both the front and rear cameras will be usable during conversations. The WiFi-only limitation will apply for at least the rest of 2010. Steve stated that they needed to “work a little bit” with carriers in order to get 3G video calling enabled.