WIFI camera

Hi there,
I want to build and RC boat with arduino. I have build the remote controller with 3D printer. I have left space for LCD.

I want to place a wireless mini camera to get live video from smartphone.
Probably this part will be standalone. Arduino will turn on/off the cam with mosfet (power on/off) and it will rotate it with servo.

Arduino related:

  1. Is there any possibility to arduino to handle the part on which local IP to connect?
  2. Do you know any mini wireless camera cheap and HD to suggest me?
  3. Is there any chance to display the video in remote LCD Screen (monitor)?
    I mean instead of having mobile, if there is a ready solution(or possibly to build one) that can be placed inside of my RC Controller.In other words, a “wifi client with LCD”, cheaper that a small tablet.