We use it to Skype with the in-laws. It’s one of the major things that convinced me to give in and buy it - we didn’t own anything else at the time with a functional webcam. And the only portable computing is my phone. (Tom Scud has a laptop, but it’s like 8 years old at this point, the wifi doesn’t work anymore, and it’s generally kind of cranky. Plus it’s huge - when he bought it, he needed a large monitor for graphic design work.) The iPad is very handy for Skyping and such.
I bought one and eventually returned it. Here’s my explanation why.
FYI, I own an iPhone and love it.