yes. It will alert you after you have been buggered, and give you reason to examine what is going on.
Smoothwall will allow anything out that wants out if you leave it in the default config. It is better than relying on a PFW tho. Play with it.
re: all this thread... funny ... here's me thinking that security was about the intelligent application of *layers* of security.
PFW's can be a very useful part of an overall security strategy. Their main purpose is to stop inbound connections and to alert you when an app tries to talk. If you are in the situation where malware can get to your desktop in the first place then there is something seriously wrong with how your defences are layered.
Most touted hardware firewalls allow everything out by default. This includes almost every NAT based widget on the market, smoothwall, IPCop and other Linux based fwalls.
Smoothwall, IPcop, linux based and 'real' firewalls will allow you to create unlimited outbound rules, block sites, filter content, reduce DOS attacks(in theory), check the contents of packets etc whereas NAT based and PFWs usually don't. NAT boxes often have bugger all memory and will only allow you to create 10-15 outbound rules. I'm yet to see one that has an implicit Deny any any/Deny all rule for outbound either.
Just my $0.02 E.
P.S Zonelarm can stop most email borne malware as it can be configured to rename attachments. (vbs, exe, scr, pif etc)