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It wouldn't work here in the US, though. The states will want a piece of the action, and then we'd have the federal and state governments spying on each other. Not that they don't already. 
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Sorry, Steve...
Done deal:
The NSA Is Building the Country’s Biggest Spy Center (Watch What You Say)
http://www.wired.com/threatlevel/201...nsadatacenter/
The information on page 5 regarding the breaking of encryption is really interesting and really concerning. If the NSA has found a way to enable real time decryption of "strong encryption", how soon afterward do the entities we don't want to have this capability also gain this technology. This sort of tech very rarely stays in-house. How long until someone, say China, Russia, the Mossad, get this and use it against us? Then there is the corporate world; think of how much they would like to have tech like this to get a leg up on their competition or to spy on consumers to aid in marketing. The prospect of what we now know as "privacy" is growing dimmer as days go by...