FAQ · The PIES Difference
What are enterprises’ key concerns about public frontier LLMs?
- IP retention – when code or business logic is sent to a cloud LLM, who owns what comes back? Does it train the vendor’s model?
- Data residency & compliance -HIPAA, PCI-DSS, GDPR, and FedRAMP often prohibit sensitive data leaving defined boundaries. Sending PII to a US cloud LLM creates instant compliance exposure.
- Shadow AI -employees are already using ChatGPT and Claude without IT visibility, with sensitive IP leaving the building with no audit trail.
- Model selection risk – developers individually choosing which model to use, with no central oversight, creates inconsistent security posture and cost blowout.
- Auditability – in a regulated environment, ‘the AI said so’ is not sufficient. Without a per-call record of which model saw which data under which policy, enterprises cannot demonstrate compliance.