He's quite right, this sort of technology will only help illegal activity as regular people are already handing over this information to marketers, encryption or no encryption. Tor, for example, is mainly used for drug purchases and downloading child pornography- this secrecy accompanies criminal behavior.
FTFY.
Tor is perfectly legitimate, unless of course you're okay with the state snooping around. I don't think there's anything inherently wrong with being upset about your privacy rights being violated. If someone gets away with some illicit activity because they've used masking software, so be it. Those types are small fries compared to the state which incarcerates young people
en masse for the possession and use of harmless substances such as marijuana, for making a copy of a copyrighted work (heaven forbid!) and that engages in policies which causes the early death of hundreds of thousands of people every year by denying them adequate access to shelter, food, etc.