It's fashionable these days to say that "privacy is dead". Take, for example, these comments from Mark Zuckerberg, CEO of Facebook. I can't decide if this is political on his part, or truly disingenuous. In either case, I could not disagree more.
The counter-example I like to give is very simple. It is the dinner conversation. Consider:
You've made it through a hard day at work. You make it home and sit across from the dinner table with your wife, discussing your day. You talk about what happened, share your feelings, etc. This is a healthy, rejuvenating experience.
Now imagine the same scenario, but instead of you speaking privately with your wife, the entire conversation is recorded. It MAY be viewable by your boss or your co-workers, your friends, your government, maybe even the entire world. Does this change things? Do you now have to be on guard, more careful? Is the experience potentially less healthy? Less rejuvenating?
It seems pretty clear to me. I'd consider just such an example as proof that privacy is not dead (yet).