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AFAICT this feature is mostly for internal (to your domain) emails as you need to supply your own identity provider for key management.

I don’t believe a random external sender will be able to send an E2E encrypted email. Or at least not in a way that would be readable by the recipient.

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I'm surprised they are implementing this as it will reduce the ability to do Google Inbox-esque classification of emails for things outside of spam like smart labeling of emails or highlighting important emails, emails prompting an urgent response. It just significantly reduces the amount of NLP processing they can do.

The organizations that need this for compliance reasons likely don't care about that. This is likely going to be a very niche feature (in the grand scale of all Gmail users) that really only exists so that it can be sold to large enterprises.

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