The latest version (2.0.0.45) of Skype for Android finally introduces full support for video calls with other Skype devices, including iPhone. The new version also includes a significantly improved user interface, so that all functions are much easier to find.

With the new app, you can:

  • Make and receive free Skype one-to-one video calls to other Skype users on the iPhone, Mac, Windows PCs, other Android phones and even TVs**
  • Make great value calls to landlines and mobiles around the world
  • Send SMS messages to friends and family anywhere in the world from your Android device at great Skype rates.

Unfortunately, video calls has limitation. Currently, the only supported handsets include the HTC Desire S, Sony Ericsson Xperia neo, Sony Ericsson Xperia Mini Pro and the Google Nexus S, but Skype promises to support more phones soon.

(via Skype Blog)