Update: Yahoo Messenger 10 is now out of beta. Features include: high quality video calling, Yahoo Updates view of your contacts list, and availability in 16 languages.

Original Article: Yahoo Messenger Version 10 is now available in beta. New features include enhanced video calling, courtesy of GIPS, friend updates from Yahoo, Flickr, Twitter, and others through the new updates view, and improved language support.

GIPS has provided the underlying voice technology for Yahoo Messenger for the last three years. Now GIPS is providing its VideoEngine to add the video element to the messenger.

"With the launch of Yahoo! Messenger 10, we’re allowing people to instantly communicate with friends and family around the world through new interactive and social features like video calls," says Dave Merriwether, senior director of Yahoo! Messenger. "The GIPS VideoEngine enables us to provide the Yahoo! Messenger community with the best video experience possible. Now people can enjoy full-screen, face-to-face chats with friends and family at no cost, in the familiar Yahoo! Messenger environment." 

"Yahoo! Messenger is the leading communication platform that provides people with the greatest choice to stay connected to one another through text IM, PC-based calling, mobile text messaging and now video calling," says Emerick Woods, GIPS’ CEO. “"We’re proud to work with Yahoo! to deliver a truly differentiated high quality video experience for the hundreds of millions of people on Yahoo! Messenger around the world."

On a semi-related note, Google just recently launched a new voice/video chat application for the iGoogle homepage.