arXiv:2506.06321 · IEEE Conference on Decision and Control (CDC)
On the Interplay of Privacy, Persuasion, and Quantization
Anju Anand, Emrah Akyol
Abstract
We develop a communication-theoretic framework for privacy-aware and resilient decision making in cyber-physical systems under misaligned objectives between the encoder and the decoder. The encoder observes two correlated signals (X,θ) and transmits a finite-rate message Z to aid a legitimate controller (the decoder) in estimating X + θ, while an eavesdropper intercepts Z to infer the private parameter θ. Unlike conventional setups where encoder and decoder share a common mean squared error objective, here the encoder minimizes a Lagrangian that balances legitimate control fidelity and the information leakage about θ. In contrast, the decoder’s goal is purely to minimize its own estimation error without regard for privacy. We analyze fully, partially, and non-revealing strategies that arise from this conflict, and characterize optimal linear encoders when the rate constraints are lifted. For finite-rate channels, we employ gradient-based methods to compute the optimal controllers. Numerical experiments illustrate how tuning the privacy parameter shapes the trade-off between control performance and resilience against unauthorized inferences.