Last year I was using my USB Eyetoy camera with motion quite happily and when I set it up again I found out it wasn't working. After trying out different kernels I've narrowed it down to this commit:
https://github.com/Hexxeh/rpi-firmware/ ... a94f6371aa
Any commits before work fine, whereas this commit and those past it cause the camera to not work, as evidenced by a few other people on the forums. Who is in charge of kernel development at the moment?