Who is on the other side of your web cam?

There has been ongoing debate related to privacy and security on the internet as the public becomes more aware of the kind of data being collected about them.  Under British law, government agencies are now allowed to essentially tap into your computer.  Instant messages, internet activity, and skype calls are allowed to be monitored.  The British government defends themselves by pointing out the potential for terrorist activity over the internet and the need to intervene.  While the government agency records frequency, call times and addresses, they do not record the content itself.  Similar laws are presently being enacted here in the U.S.  Should we be angry at the government for attempting to prevent internet terrorism?  I am more than willing to sacrifice the privacy of the meaningless conversations I hold via the internet to the government in order for them to provide security.