The vulnerability was basically due to lax permissions on the database where personal information is stored within the app. Those permissions have now been fixed, but many people are using a patched version that allows video-calling. That unofficial version is still vulnerable.
Skype’s also added a feature in this update that’s sure to make a lot of people happy. Users in the US can now use the app to make calls and chat while on 3G data connections, no longer needing Wi-Fi at all. The need for a Wi-Fi connection has been a major issue for Skype users in the past, so this could definitely lead to increased usage among the Android community.
Skype for Android can be downloaded free of charge at the Android Market.