First, it establishes a secure computing space, which means that as a computer starts up, the software will verify that the hardware components such as hard drives can't be read by unauthenticated programs under any known circumstances. Palladium will also check the computer�s central processing unit�s serial number before kicking into operation; both Intel and AMD have already said they're willing to include such identification. Before any program is run, Palladium will make sure it's authenticated via a digital certificate.
Stored data will be encrypted and will only be decrypted by authenticated programs.