Never is a strong word. People prefer to talk to each other face-to-face rather than on opposite sides of a wall. For this reason video chat will obviously succeed, once the technical solution is at a level where it is close enough to the real thing. (Obvious current shortcoming: You don't look people in the eye, but slightly below it).

Alternate title: "Why video chat on the iphone4 will not succeed". (Meta: Should I flag the article because of this?)