FWIW I suspect better screens and speakers (and microphones!!) than what people typically use are very possible, just cost more money than people are typically willing to invest. Network links, I'm not as sure. Video encoders (=> high latency) are a big part of the problem.
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My main concern with a USB camera is I expect tons of pointless latency, just due to the driver stack. People with professional cameras use them to film videos to watch later, so don't care about latency at all. I expect it to suck more than an Apple-optimized iPad+Facetime.
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I'd be surprised if the codec is a quality problem (except cellular codecs). But you can't make a high-SNR mic unless it has high selectivity. "Whole room" mics are the worst, by physics. One differential mic on each side of each speaker's face (airpods?) has huge potential.
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FWIW I have consistently the worst experience on Hangouts of all the VC software I've tried (Zoom, Whereby, Facetime).
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Zoom seems worse than Hangouts for me, but I suspect that's because I've been using a Chromebook and there's no native app there. Zoom probably runs much better on macOS with the native app.
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Maybe in 2021.