OBJECTIVE: Develop an efficient means of cryptographically protecting databases while also processing without decryption. DESCRIPTION: Cloud-computing is a cost-effective solution that outsources storage and computational instances. As the Navy transitions into a cloud environment with consolidated data centers, three confidentiality and integrity use cases are of interest: (1) data stored, (2) data being processed, and (3) data in transit to and from the data center. Strong cryptography and key management are solutions to cases (1) and (3), but case (2) is problematic. If encrypted data is to be decrypted in the cloud environment before processing, it can be susceptible to leakage and modification should the cloud environment be compromised. This poses serious security risks, especially if the data is sensitive. The decrypt-process-encrypt also adds computation complexity, or processing time. The research question is to explore possible solutions to query and process the data while still in its encrypted form. Another interest is to determine the strength of mechanism available through the use of cryptography in such a cloud-computing environment. Of particular interest is the use case for a database element operation where a remote, autonomous, automated sensor provides an update, involving a mathematical operation. In this use case, an unclassified subscriber could update a classified data store. Examples include changes in course and speed, quantity on hand, or status. Another use case is secure transaction processing by wireless sensor grids. Lattice or homomorphic encryption, which allows mathematical computations to be performed on encrypted data without compromising the encryption, is not new to the cryptography world. Existing cryptosystems such as El Gamal are considered homomorphic but with respect to either addition or multiplication operations. It was not until 2009 when fully homomorphic encryption was introduced that both addition and multiplication operations (thereby allowing every computation) could be made on encrypted data. Homomorphic encryption provides a suite of benefits. This proposal scopes research and development efforts to secure database transactions, heavily used by both government and industry. PHASE I: Conceptualize and design an innovative solution to protecting database data using homomorphic encryption (whether partial or fully homomorphic) such that the query and processing of such data will not require decryption. The solution should be practical, in terms of a small footprint and high efficiency. The phase 1 deliverable will address at least these factors: Cryptographic processes utilized, including key management Database structures to which this method might be applied (e.g., relational, structured, unstructured) Operations (add, multiple, etc) possible vs. complexity Strength of mechanism as generally defined in ISO 15408 and how it might be evaluated Computational comparison with traditional decrypt-process-encrypt process Description of potential solutions for both use cases described above PHASE II: Provide a practical implementation of the solution researched and designed in Phase I. Testing and evaluation should be accompanied to illustrate both feasibility and practicality. PHASE III: Transition this technology into current Navy systems that house tactical databases. PRIVATE SECTOR COMMERCIAL POTENTIAL/DUAL-USE APPLICATIONS: Databases are widely used in both the government and private sector. 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