Working now! Apparently you have to hit the skype server a few times to cache fresh contact data. ... or some other kind of nonsense explanation. But on the third call, it now works every time.
I tried a Skype video call with my sister today (she has a Charge). It actually exceeded my expectations. It worked just as good, if not better than when I do it on my actual computer.
The quality was very nice and you can switch between your front and back cameras. Very usable IMO.
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