According to that interview that was posted here with the kid who runs it; he covers all costs with a few ads on the page. No idea how, but I guess that it works for him.

They're using a new feature in flash 10: p2p.

Check the comments on the other news.yc thread about chatroulette.

the video streams are all client to client, all chatroulette handles is the session initiation.

I'm working on an open source Ruby implementation using the TokBox api.

I'm working on an open source Ruby implementation using the TokBox api.