Abstract
Traditional approaches have failed to keep up with privacy requirements as AI and ML systems increasingly interact with vast, sensitive data sets. Currently, most solutions treat privacy as strictly a technical problem or legal checkbox, but rarely both. The presented work this paper uses a multidimensional scheme that serves to reframe data privacy as a fundamental design principle through the integration of four key perspectives: technical structure, regulatory fit, organizational preparedness, and ethical responsibility. We assess such privacy preserving solutions, federated learning, secure multiparty computation, differential privacy, among others, against the real-world constraints such as scalability, latency and compliance. With cross-sector case study and comparative analysis we illustrate that hybrid context-aware deployments can bridge the theory-practice gap. Our contribution is more than just a toolkit: it is a systems-level implementation that allows businesses and organizations to operationalize privacy while embracing innovation. Such work is necessary for future empirical studies to provide a grounded approach to the development of AI systems that are high performing, yet privacy preserving.
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