According to CNET, an iPhone version of Skype wll be available for downloading tomorrow. (Skype is a voice over Internet Protocol program that allows two Skype users to make long distance audio calls to one another, without chargesm, while Skype to land-line calls will cost 2.1 cents a minute.) There are already two VoIP apps available for iPhone, but neither are as well known as Skype, which is now one of the largest long-distance call providers in the world. 

The iPhone Skype is gaining the ability to use pictures taken from your iPhone camera as your chat avatar, and can also handle conference calls.

The iPhone Skype app will also make use of Wi-Fi networks, instead of using the 3G.