Does Muslim mean terrorist?

Because many people feel so passionately about their religion, and there are so many different religions, it is always a very controversial topic. One such recent occurrence has to do with Obama feeling that we need to be more "politically correct" when discussing terrorism, and careful not to make it seem like we assume that people who are Muslim are automatically considered terrorists. According to the Obama administration, this misunderstanding could result in Muslim-Americans becoming alienated. Arguers claim that religion plays a huge role in decisions that the terrorists make, and it is a mistake to ignore that. Is there any middle ground here? Read more about it in the Austin American Statesman.