German Federal Employment Agency deploys cloud-based AI with Privatemode

Overview

The German Federal Employment Agency (Bundesagentur für Arbeit, BA), with over 110,000 employees and one of the largest public authorities in Germany, needed an internal knowledge management AI chatbot but a local AI deployment would have been very time-consuming. It tested Privatemode, the confidential AI service from Edgeless Systems, which encrypts data during storage, transmission and processing. Using the Privatemode API, the BA set up a chatbot that answers questions from internal databases of its Cloud Center of Excellence, accessing the open-source Llama 3.3 70B model and scaling without owning GPU infrastructure, while keeping user data such as AI prompts protected against access by cloud, model, or service providers.

The challenge

The BA operates one of the largest IT landscapes in Germany, with over 100 IT systems and around 15,000 applications for unemployment or child benefits submitted daily. At the same time, the BA faces a significant shortage of skilled workers, as around 38% of its workforce will retire within the next decade. An AI service for internal knowledge management needed to be implemented and tested quickly, but a local AI deployment would have been very time-consuming, so a secure cloud-based LLM solution was to be used, while ensuring sensitive personally identifiable information is processed securely and in compliance with data protection regulations.

The solution

As part of its AI and multi-cloud strategy, the BA evaluated the use of confidential computing and tested Privatemode, the confidential AI service from Edgeless Systems, for its desired knowledge management solution. Privatemode ensures data is encrypted not only during storage and transmission but also during processing. Using the Privatemode API, the BA set up a chatbot capable of answering questions using information from internal databases of its Cloud Center of Excellence, accessing the open-source Llama 3.3 70B model and scaling without needing its own GPU infrastructure, while keeping user data such as AI prompts protected against access by cloud, model, or service providers.

Reported business value

With Privatemode AI, the BA very quickly set up a secure, scalable AI chatbot capable of answering questions using information from internal databases of its Cloud Center of Excellence, scaling without the need for its own GPU infrastructure while ensuring maximum data protection.