I use QQ to talk with friends in China. I find the quality of the video and audio to to superior and more reliable than Skype. It has a lot more features and I would recommend it. It is also available to use on your cell phone.
This is where you download the international version of QQ, which is basically the preferred instant messenger in China. It's a pretty good alteranative to MSN or Skype, to be honest. The site packs information for foreigners in China and for anyone interested in the country. Highly recommended if you live in Shanghai or Beijing because it has tons of local information about events places etc.
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