Why it matters
Regulated industries need private LLM inference. Understanding shapes future privacy tech.
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The architecture
HE: encrypt input; server computes on ciphertext; user decrypts result.
MPC: user + server compute jointly; neither sees other's data.
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How it works end to end
HE: currently 100-1000x slower. Research reducing overhead.
MPC: rounds of communication. Bandwidth-heavy.
Confidential computing (TEE): hardware trusted execution (Intel SGX, NVIDIA H100 CC). More practical short term.
Trade-off: privacy vs performance.