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FHE for Enterprise SaaS AI/ML: How Encrypted Inference Works and What It Costs

Fully Homomorphic Encryption (FHE) enables AI/ML inference on encrypted data, preserving client privacy by allowing computation on ciphertexts. While promising for sensitive enterprise SaaS applications, FHE introduces significant computational overhead, increased data sizes, and architectural complexity that must be carefully evaluated against workload requirements and latency tolerance.