Some scientists at Berkeley are working on a new surveillance camera that automatically blocks out peoples faces, creating more privacy-friendly devices. The "respectful camera" can block workers in a building by reading their badges, therefore making surveillance possible while keeping the privacy of those in the building every day safe. If an investigation is necessary, the ovals can be removed.
I'm not sure how many privacy problems this solves, but I guess it's a nice start. It seems to me that the real privacy issues arise in places where you won't be known well enough to wear around a badge that blocks your face — public areas. I don't see a big deal in having your face shown on the camera where you work, but if you're able to be tracked once you leave the building, on the street, in the subway, and on your entire trip home, that's a problem. So yeah, this is a nice idea, but I'm not sure what problem it solves.