One-to-one videoconferencing is extremely simple and inexpensive to set up and use. Videoconferencing with multiple people at each end is more complicated to set up. Within certain limits, it is still relatively inexpensive.
There are two ranges of videoconferences that we should discuss. Medium-sized conferences involve 5 or fewer people at each end. Large videoconferences have more than 6 or more participants at one or more locations.
Large videoconferences are best served by dedicated videoconference systems, special communications links, etc. Some of the manufacturers of such units are Polycom, Tandberg, Cisco, etc.) The units can cost many $1,000s per node. For companies that generate lots of large meetings, they are probably the way to go. Just be aware that initial purchase and setup costs plus ongoing communications costs can be significant.
If you want multi-person videoconferences for 5 or less people at each location, you can still set up and operate such calls for very little money. You will need a better video cam with a wider field of view. You will need speakers (as a headset is only useful for one person at a time). As well, a small microphone (even if the cam has one) helps to capture conversations better. The total cost of such a setup is about $150-$200 per node.
As for software, you can still use Skype (see http://www.davidrier.com/?p=99) for your medium-sized videoconferences. Both the software and Skype-to-Skype video costs are free.
