Hi Larry,
I too am looking for the same as you, my website (surf website in Sligo, Ireland) currently uploads an image every 5 minutes (using Chillcam = pretty crappy) but I have always wanted to stream.
See
http://www.strandhillsurfcam.com/surfcam_enlarge.htm
Anyway ive been messing with VLC a few weeks now and while it is good and i can get my camera to stream (using Windows Media Stream for testing purposes) the thing that really annoys me is that VLC does not save the settings that you give it. Every time I start VLC I must go through the whole setup process (select inputs, codec, outputs etc..)
Anyway, to get you started here is an EXCELLENT introduction that I found a few days ago:
http://forum.videohelp.com/topic259354.html#1850314
It is very straight-forward, I had my stream working in 5-10 mins
But of course I could not save the settings in VLC so I have to go through the whole setup each time!!!!
What I am researching now is 'how to control VLC using the command line' which seems to be the way to get it to do what you want it to do ( & remember it too!)
When you setup VLC it, you can see a string of text appear like this:
dshow:// :dshow-vdev="Conexant's BtPCI Capture" :dshow-adev="none"
:dshow-size="" :dshow-caching=200 :dshow-chroma="" :dshow-fps=0.000000
:dshow-config :no-dshow-tuner :dshow-tuner-channel=0
:dshow-tuner-country=0 :dshow-tuner-input=0 :dshow-video-input=1
:dshow-audio-input=-1 :dshow-video-output=-1 :dshow-audio-output=-1
Apparently this is the command line stuff that you need to control VLC...but i have NO idea how to use it (despite searching for a 'dummies guide'). My computer/webcam runs on Win XP...I think the command line stuff is written for Linux?
Anyway, I have only just joined this forum so will keep searching. I am sure that I will find the answer.
All the best,
Graham