I'd agree sounds like a waste unless you come up with more uses for it. Based on your description, I agree with your rant and would lean towards option number 2. Simplest is best to me. That said, it may fall flat if you need to project an appearance of some sort to these folks. The web conferencing may suggest a more sophisticated opearation, etc.

One thing that came to mind for me because I've used their audio conferencing is Budget Conferencing. I haven't used the web product though: http://www.budgetconferencing.com/web-conferencing.php