With the upgraded server, I can now stream webcam images live.
http://scholars.homeip.net/webcam.php
Unfortunately, there's some obvious bug issue. I'm hoping to solve it with the developer (webcam: Gerd Knorr) if he ever replies, since no one else on the web seems to know the solution.
image misaligned/shifted/rolling problem solved.
webcam config file (webcamconf in my case): set quality from 75 to 100.
Apparently, it works fine at low light night but not during day time. Perhaps the quality setting is just a dummy that only increases filesize.