Suppose we have A and B, e.g. a user a server, where A encrypts data to be processed by B homomorphically.
It seems that we could construct a pseudo-fully homomorphic encryption system---prior to Gentry's FHE scheme---where:
- B processes encrypted data using additive (or multiplicative) PHE, then sends the encrypted result to A.
- A decrypts the result, encrypts it again using a multiplicative (or additive) PHE scheme, e.g. ElGamal or RSA, and sends it to B.
- B processes the data using multiplicative PHE, then sends the encrypted result to A.
- Repeat these steps for a desired multiplication or addition operation.
Why wasn't such an "interactive" version of FHE used prior to canonical FHE? Am I missing something in my understanding?