I believe Traffic, Diagnostics & Usage, and Cell Network Search are for crowd-sourced data. They do not effect how your iPhone works, but just provides Apple with a bunch of data about how the iPhone is used, exactly where it is used, and when it is used.
I am unsure exactly what Compass Calibration does. I woke up today with an arrow on my iPhone. I looked in System Services and my Compass Calibration was being used. Why exactly was this being used right when I woke up? I wasn't using my compass or any app that uses the compass (unless my alarm clock does). Needless to say, I shut it off. And my compass feature within the Maps app still works.
iAds and Time Zone are self-explanatory.
Since Apple gives us the option to turn these features on/off, I wish they were more transparent in what exactly these options do.
What exactly leads you to believe that having Location Services marked "on" for your Camera app doesn't already accomplish this function?