If you have an EyeToy kicking around that you hardly ever use, and are thinking about buying a webcam, don't. Your EyeToy is a USB device and a fairly decent webcam---it even has a microphone built in. Ubuntu users can simply plug the device in and start using it with the likes of Skype and Empathy. Windows and Mac users are going to have to work a little harder than that, unfortunately, but it's not too difficult.
Figure out which version of the EyeToy you have, if you're a Windows user. Plug in your EyeToy webcam, then right-click "My Computer." Click the "Hardware" tab, then click the "Device Manager" Button. Under "Imaging Devices" you will see your EyeToy. The last word in the products name is either "Namtai" or "Logitech." Take note of which version you have.
Download drivers for your respective operating system. Mac users can simply download the "macam" driver, which includes drivers for both types of EyeToy and a number of others. Windows users need to download either the "Namtai" or "Logitech" drivers, depending on which EyeToy you have.
Install the drivers. Windows users should run the executable and follow the prompts, clicking "Next" and "Okay" when necessary. You'll be told the driver is unsigned---make sure you're okay with that fact before proceeding.
Mac users need only to drag the file "macam.component" to the "/Library/Quicktime/" folder.
The EyeToy will now show up as a webcam in most of your favorite programs.
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