This matters for ad tech because two parties can collaborate on audience matching or attribution analysis without either one exposing their underlying customer records. The computation happens on encrypted datasets. Neither party sees the other's raw data. The output is useful to both. It is one of the core Privacy Enhancing Technologies making clean room collaborations possible at scale.
Ad tech glossary
Homomorphic Encryption
Technical definition
An encryption method that allows mathematical operations to be performed on encrypted data without decrypting it first, producing results identical to those obtained from unencrypted data.
The ADLINGO translation
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Guide: How Much Does Programmatic Really Cost?
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