One of Skype’s most prominent uses is as a video call/conferencing system. It’s perfect for businesses and residential users because it is completely free to use this feature for making Skype-to-Skype calls. All you need for video calls is a webcam. Optionally, you may want to get a microphone, otherwise you will not be able to speak to the other user(s).
This first video just walks you through the steps involved with setting up Skype for video calls and some of the basics.
This next video shows you the actual interface within Skype for making and receiving video calls. Note: Even though this video shows Skype on a Mac, it will still work in Windows. The interface is typically kept the same between the two versions.