It is, or will be, needed for experimentation. Wireless security cannot be an afterthought anymore; communication modes and protocols need to be built with security in mind from day 1.
There is one area where encryption is expressly permitted in amateur radio: satellite control, for obvious reasons. The future of amateur radio is not people talking to people over narrowband voice channels; it's going to be machines talking to other machines, and being able to control them. This is going to require encryption, or innovation will shift off the ham bands. And if the ARS is just ragchews, contesting, and doing things that have already been done instead of advancing communication, then there's not much defense when someone like Thales comes in and suggests reallocating bandwidth to something new and enterprising.