How can I summarize chapter two of Blown to Bits: Your Life, Liberty and the Pursuit of Happiness after the Digital Explosion ("1984 Is Here, and We Like It")?

Chapter Two of Blown to Bits: Your Life, Liberty and the Pursuit of Happiness after the Digital Explosion is entitled "1984 Is Here, and We Like It."
The chapter opens with a description of the London suicide bombing that occurred on three subways and one bus on July 7, 2005, during the G8 Summit. The terrorists responsible were caught on surveillance cameras, although this did not stop the attack. 
We then receive a description of the Orwellian world imagined in the novel 1984, which seems childish in comparison to the reality of today's intense tracking technology. What's even more disturbing about this is that we are in love with the world we live in--a world in which we are always "on" and have accepted our loss of privacy in exchange for "efficiency, convenience, and small price discounts." We actively participate in the documentation of our private moments and accept the presence of "the gaze" within our lives. We even enact our own version of a watching "Brother" by checking up on those around us through the Internet. 
This is the result of how quickly the digital explosion happened; the speed of this development has blurred our understanding of privacy and numbed our shock over the invasion of it. Cheap consumer goods, such as cellphones, aided in this shift as well, particularly with the addition of cameras in cellphone technology.
We are able to use these devices in many ways. While they are effective in helping document crimes so that they may be more quickly resolved, it also causes seemingly insignificant moments in our lives to be magnified and used against us. This has created a sort of citizen-oriented, vigilante-style justice--for better or for worse. This does not even begin to touch another huge related issue: the fact that these cameras help contribute to our digital footprint through the storage of such data as Exchangeable Image File Format (EXIF), dates, times, etc. The same can be said for devices with GPS, which when in your possession can trace you anywhere in the world. 
Another relatively new technology is RFIDs, which though developed for record-keeping purposes, could easily be abused for snooping and marketing. Event data recorders (EDR), or "black boxes," track information about speed, braking time, turn signal use, and seat belts to establish responsibility in the case of automobile accidents. Even laser printers can be used for tracking, and parking garages that snap photos of our license plates can be used to track our time spent in the vicinity.
With the explosion of digital footprints comes great risk. Sensitive data can now fit in small sources and be easily accessed from anywhere in the world. Clustering algorithms allow us to determine who contacts who and when those points of contact occur. Allegedly "de-identified" data may be simply "re-identified." These technologies mean that our confidentiality is being quickly erased.
So how or why did our privacy get away from us? As has been expressed, our gadgets are a component of this. However, the problem is much messier than that and is largely tied up in how willingly we give away information about ourselves thinking that the benefit of doing so outweighs the costs. Doing so can save us time (like the sensors at toll booths for Fast Track passes); it can save us money (through the use of loyalty cards which give us discounts but track our individual purchases); it provides us with convenience (like the creation of suggested products on online marketplaces like Amazon); it plays into our desire to exhibit ourselves (particularly through our willing divulgence on social media platforms). Simply put, we don't know any other way to live. 
Our desire to know everything about those around us also reaffirms this issue. The accessibility of public documents and the development of databases that let us explore the bad deeds of our friends, family, and neighbors for a nominal fee operates as a low-grade form of spying.
This voyeuristic curiosity makes us more comfortable with the presence of Big Brother and the fact that we really are being watched and tracked at all times. Cell phones may be reprogrammed so that their microphones can be turned on remotely, and the rise os biometric data may very well eliminate the need for ID cards because we could already so precisely be pinned down.  Big Brother is no longer just the government but corporations as well.
While the Privacy Act of 1974 limited the methods with which the government may collect data on individuals, the terrorist attacks of September 11th brought these policies into question. The Information Awareness Office (IAO) was established shortly thereafter and "Total Information Awareness" (TIA) became a priority and a method to sidestep the Privacy Act. The key to this approach was through data mining and profiling system development. 
These technological and social changes reinforce each other and are highly related to our lifestyle choices. The dawn of credit card culture, email culture, web culture have reinforced these changes. The "right" to be left alone is slipping away from us, as is the control we have over our information. At the end of the day, our desire to be connected to others and the channels through which we choose to do so allow us to "buy in" on losing our privacy.