If you have a webcam but are not not satisfied with the features it offers, a freeware package you might want to take a look at is Yawcam (Yet Another WebCAM software):
Yawcam is a webcam software for windows written in java. The main ideas for Yawcam are to keep it simple and easy to use but to include all the usual features.
The features I find most intriguing about Yawcam is the ability to share and distribute the video. The features (among others) include:
- Video streaming
- Built-in webserver
- Motion detection
- FTP upload
- Text and image overlays
- Scheduler for online time
These features can really be put to use for something like a nanny-cam or some sort of security setup.
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Yawcam is great. Been using it for 5 years now.