Personally I’m not a big fans of Skype and I have not sign in to Skype for than a year or more. The free Skype’s native VoIP client for the iPhone finally available to download from the iTunes App Store.
Skype is a very popular voice-over-IP (VOIP) and instant messaging application that allows you to make phone calls, video calls and instant messaging over the internet. Plus great value calls to phones anywhere in the world.

As restricted by Apple, the voice-over-IP phone calls will only work over Wi-Fi and not over the cellular connection. iPod Touch owners with a microphone can also take advantage of the VOIP calling.
Check out more details here.
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