In video chat, if the audio or video has latency problem, mostly it’s due to the poor connection speed of the two parties (video publisher and viewer). This physical obstacle can’t be overcome but the connection will become smoother with proper server tuning.
Recommended Setting
In admin panel, Module Settings-> Audio/Video Module-> Video Window-> Video Quality,
Quality, 60-70, or even lower, to decrease bandwidth consumption by sacrificing quality.
Output Bandwidth, 0.

Details
Quality=0 means publishing video with automatic quality.
Then if the publisher has much better connection than the viewer, the viewer will have latency problem. Therefore quality=0 is not recommended.

Output Bandwith=0 means automatic bandwidth. It’s also a parameter for video publisher.
Usually it’s not recommended to limit bandwidth consumption by limiting output bandwidth, otherwise if the publisher has much better connection than the viewer, the viewer will have latency problem.