Earlier this week the VP of Yahoo! Mobile in America, David Katz, let slip that Yahoo! will soon be supporting video chat on their mobile apps, including iPhone. A Yahoo Spokesperson has said that he believes:

the iPhone app has already been approved by Apple and that it would be would be available “soon.”

The advantage of Yahoo video calling is that the user will not only be able make video calls with iPhone 4 and iPod touch 4. but with Android devices, Mac and Windows PCs, and anything else Yahoo supports. Yahoo's app will also not be restricted to just Wi-Fi like FaceTime, and will be able to be used via 3G/4G.

Apple used open standards to make FaceTime and has said they're releasing FaceTime back as an open standard itself, but since it seems to be taking a while, are you interested in Yahoo! as a FaceTime alternative? Do you think Yahoo will do it right?

[iTunes link - Reuters]