Technology burying human compassion?

Recently, the Dalai Lama paid a visit to Vancouver. Even though I am reading his book "The Art of Happiness," I did not go and see him because tickets were $200-$300. However, the topic struck controversy over the media with "Is technology hindering human compassion" in this day and age. At first when I heard it, I wanted to disagree. I mean, it's good that we have cell phones and e-mail & Facebook so we CAN connect to others...
I think we can all relate to the feeling of wanting a connection/feeling a sense of trust & closeness with someone. And I'm not just talking sexual closeness, I'm talking on a more in-depth level of compassion, commitment, caring, and love. I know that's what I long for right now. I have internet and texts, but in a way, society becomes so used to that and accustomed to it that we feel like we really don't need to see each other face to face or voice to voice that often. We have become accustomed to an instantenous need for satisfaction. Facebook is a perfect example of that - Instead of seeing how someone you're thinking about is doing, you hear/see it from another source, the internet. What satisfaction does that give you in giving them your love? It's kind of a selfish gratification to your own ego. Instead of being vulnerable and giving your time to someone, you give it to yourself. And how are we to communicate and reciprocate love driving down that road? It's a one-way street. You see others, but they don't even know.
That's the way it is though, and I've come to accept it. We live in a fear based, quick-to-get, impatient, selfish society. All we want is for ourselves, and even if we achieve what we want, we still want more. Nothing is ever good enough. This applies mostly to material possessions. So how are we going to be appreciative of what we have? How are we gonna grow as a common society? I think it's a painful yet pleasurable approach. Just like whatever tastes good is bad for you, and the addiction to drinking and porn.... It's all just a temporary relief until we get to the root of our needs, it's all just a cover up of our weaknesses and shame.
There's a fine line though: I mean, when I am writing this, I feel I am doing good for society, because it's not just targeted to one "individual" and I can't go around telling everyone I speak to what's on my mind or wear a t-shirt made of a book... I think in general, the context of this topic is about "each other" - creating a connection between 2 people, growing individually, helping each other step by step, inspiring and enlightening each other, giving each other our time and undivided energy. It's a gift to be able to do that, and I am realizing now that interactions with others have a huge impact on human interconnectedness.
I don't think technology dampens compassion.... I am not uncompassionate when I text/e-mail people. I think it's just an easy cop-out for our interaction with others. It just limits your chance to giving it your all.