Keeping the connection going is critically important. Technology is a blessing to long-distance grandparents. Lots of kids are computer literate. Grandparents must become computer literate too. Happily, the cost to buy a computer is significantly less than in the past.
Faxes are useful.
One grandmother we know gave all of her grandchildren fax machines so they could keep in touch on a daily basis. Children can fax jokes, report cards, drawings etc. to their grandparents and vice versa. She faxes her grandchildren a little note of encouragement several mornings a week. Telephone contact is important too. But make sure that you call your grandchild alone.