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I see a parralel between the catcam and the guy on the FBI terrorist watchlist who *virtually* lives his life online (excuse the pun :)).
Your logical next posting will be of a paranoid parent who has designed something like this for his/her child (or even spouse, come to think of it!) Forget Google Street Views - imagine the privacy concerns that something like this would raise. I don't think it is unforseeable...
For instance, this cat's privacy has definitely been violated because he had no choice in the matter! Similarly people who pop up on Google Street Views also had no choice in the matter -> privacy violation.
The alternative extreme says that any information stored about you is a violation of privacy unless you provide consent.
That in turn would be messy and would hurt innovation. So what should we do?