Full homomorphic encryption is not the future for private internet, confidential VMs are. CVMs are using memory encryption and separation from the host OS. ARM has TEE, AMD has SEV and Intel has been fumbling around with SGX and TDX for more than a decade.
As long as the key and compute are custodied by the vendor, confidential compute is little more than "trust us, we'll keep your data safe."
https://sgx.fail