Abstract

Rapid advances in automated data collection tools and data storage technology have led to the wide availability of huge amount of data. Data mining can extract useful and interesting rules or knowledge for decision making from large amount of data. In the modern world of business competition, collaboration between industries or companies is one form of alliance to maintain overall competitiveness. Two industries or companies may find that it is beneficial to collaborate in order to discover more useful and interesting patterns, rules or knowledge from their joint data collection, which they would not be able to derive otherwise. Due to privacy concerns, it is impossible for each party to share its own private data with one another if the data mining algorithms are not secure. Therefore, privacy-preserving data mining (PPDM) was proposed to resolve the data privacy concerns while yielding the utility of distributed data sets (Agrawal & Srikant, 2000; Lindell.Y. & Pinkas, 2000). Conventional PPDM makes use of Secure Multi-party Computation (Yao, 1986) or randomization techniques to allow the participating parties to preserve their data privacy during the mining process. It has been widely acknowledged that algorithms based on secure multi-party computation are able to achieve complete accuracy, albeit at the expense of efficiency.

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