Pros: Out and the box and chatting within 10 minutes!
Cons: ...if the microphone works.
The bottom line: Budget camera which has a critical hardware problem which remains unaddressed by Microsoft. I am taking it back to get a different model .
On my search to find a basic webcam for the daily Skype conversation with the family abroad I came across the Microsoft Lifecam VX-3000 which was suppose to be well-priced, decent in audio and video and easy to operate... or so I thought.

The Package
Pop the box to find the included camera with a 360 degree round desk stand and 6ft. of cable, CD with the latest driver (1.4 for me), an Out-of-the-box manual reminding you countless times to first install the driver and then hook up the camera and a warranty agreement.

The camera is you average webcam size - about the size of a golf ball- and is very light. On the top - the Live Messenger chat button which is useless if you don't use Messgener. Also on the front are the Camera ON LED, microphone and manual focus ring. Cable is nice and flexible and long too - around 6 ft.
Round base has rubber feet and allows the camera to turn 360 degrees and also swivel up and down.

Installation
The included software which was version 1.4 comes by CD and is simple to install once in the drive.
Installation took a long time due to some heavy software included such as DirectX, IcePick and Windows Live Messenger. The same included CD is supplied with the whole Lifecam range and installs support to all their cameras adding to the list of useless items you install unknowingly. There is way to select while in the installation what you want to install and what not to.

Hardware
On the box you see a list of wonderful specifications and many people smiling joyfully - I wasn't .
Once the installation was finished I opened up Lifecam software to set-up the camera.
Settings were all good except the microphone. No matter what I did microphone sound bar would go up and down while there was total silence in the room - I smelled trouble but finished the setup.
Video quality was what I expected for this kind of price. 30 fp/s running smooth without audio delay for the picture. Basic picture was good both with sunlight and florescent lighting. No flickering. No brightness issues. Also pretty good in the dark while only the monitor is working.
On the box was written "Pan, tilt and zoom controls" which later was understood to be a feature of the Lifecam software while zooming in (digital zoom I might add) to your face the software just shows a different part of the image.
The 1.3 megapixel still photo interpolated resolution is in laymen's terms 0.3 megapixels so don't fall for that.
Using the camera in Messenger and Skpe didn't require any fiddling around but once starting the camera the load process of the included LifeCam Dashboard (which starts automatically) takes a while which can be very annoying.
Also the camera is fitted with a USB 1.1 connector compatible with USB 2.0 ports also.

The Good
Out of the box and running within 10 minutes.
Setup is easy and doesn't require any input.
Price is good for any pocket.

The Bad
Not everything that is written on the box is really in the box i.e. "pan, tilt and zoom" and "1.3 megapixel still photos".
Microphone is shot. Makes a loud buzzing noise which renders the mic useless. Google-ing it up found me a number of help boards full of Lifecam customers with faulty mics and no solution.
Software loads lots of things you don't really want - or at least aren't asked if you want them.
Because the camera is so light the tightness of the USB cable sometimes pulls it to a different direction - taping the cable a few inches back to something stationary with some "slack" helps solve this.
Included papers and in-software help are useless. Limited support on Microsoft support website.
Very basic hardware.