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\section{Introduction}
\label{sec:intro}
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AI-as-a-service requires clients to send sensitive data---medical records,
financial transactions, legal documents---to cloud infrastructure for inference.
This creates a fundamental privacy conflict: the service provider must see the
data to process it, but the client must not reveal the data to the provider.
Existing approaches have significant limitations:
\begin{enumerate}[leftmargin=1.4em]
\item \textbf{Trusted execution environments (TEEs)}: Hardware enclaves
(Intel SGX, AMD SEV) protect data in use but rely on hardware vendor trust
and are vulnerable to side-channel attacks~\cite{sgxattacks}.
\item \textbf{Differential privacy}: Adds noise to outputs, protecting
individual records but degrading model quality. Does not protect the input
data itself during computation.
\item \textbf{Secure multi-party computation (MPC)}: Requires communication
between parties during computation, introducing latency proportional to
circuit depth.
\item \textbf{Federated learning}: Keeps data local during training but
does not address the inference privacy problem.
\end{enumerate}
FHE eliminates this conflict entirely: computation occurs on ciphertexts, the
server never sees plaintext data, and correctness is mathematically guaranteed.
The historical barrier---computational cost---has been reduced by four orders
of magnitude through algorithmic improvements and GPU
acceleration~\cite{fhesurvey2024}.
\subsection{Contributions}
\begin{enumerate}[leftmargin=1.4em]
\item A production FHE inference system supporting both CKKS and TFHE
schemes, with automatic scheme selection based on model architecture
(\S\ref{sec:schemes}).
\item GPU-accelerated NTT and bootstrapping kernels implemented in the
Candle framework, achieving 14$\times$ speedup over CPU baselines
(\S\ref{sec:gpu}).
\item Integration with Hanzo ACI for verifiable encrypted computation and
Lux TFHE for on-chain proof verification (\S\ref{sec:integration}).
\item Production benchmarks on real workloads: encrypted medical image
classification, encrypted credit scoring, and encrypted document
embedding (\S\ref{sec:results}).
\end{enumerate}
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