The two sides agreed to hold more talks in the future in order to reopen their embassies, a step that analysts say is important in order to open a regular channel of communication.
The broader goal of normalizing relations will take more time.
"What's important for now is to establish diplomatic relations because it has been a big obstacle," said Jason Marczak, Latin America analyst at the Atlantic Council think tank in Washington.
"With diplomatic relations, we will have an official channel to chat about more important things for both countries," he said.
Vidal said Cuba could not open an embassy in Washington as long as it remains on a blacklist of state sponsors of terrorism. The embargo, she added, has blocked the consulate from accessing banking services for its operations.
Obama has called on Congress to lift the embargo and used his executive powers to ease some travel and trade restrictions.
He has also given the State Department six months to review whether Cuba should remain on the terror list.
To be removed, Cuba must not have sponsored terror in the past six months and promise to not do it in the future, Piccone said. The Congress then has 45 days to override the decision.
"The process is technically easy," Piccone said. "But politically it will be an opportunity for opponents of the normalization process to say that Cuba is not cooperating."
Jacobson warned that this week's talks were "just a first step" and "many more" meetings are needed.
By Laurent Thomet
Copyright Agence France-Presse, 2015