I’m actually less fan of the centralized dipswitch with tiny switches and even smaller labels. But would instead propose small lock buttons near the peripheral, similar to the lock button on the iPod Nano.
The big advantage is that it is very obvious what each switch does. For instance when the user wants to use the USB port they would first look at the USB port itself. A small switch near the port (perhaps on the back) that flips to green or red would be very self-explanatory.
These switches can be built into the case so they don’t protrude too much and should be strong enough to prevent accidental flipping.
Disadvantage is the need for more space and perhaps a bit busy design.
Similar for the sliding camera cover: it is just so easy to understand how it works. I can imagine a dense dipswitch being very overwhelming for non-tech users or just inconvenient for people on the go.