Simple answer. Some cams do not work in MSN Messenger becuase Microsoft thought it would be a good idea to only used “approved” hardware in MSN. Approved means any company that have paid Microsoft a huge wad of money in order for their stuff to be compatible with MSN.
Just go into your registry and insert the word Logitech into the driver description somewhere, it will then work cos MSN “approves” logitech stuff.