This strikes me as a huuuuuge breach of medical record confidentiality. Where exactly do they plan to legally get enough medical records to mine in the first place?

115GB.

And why not encrypt it? Don't want service technicians or future children to wander onto it accidentally.

This is the most promising bit of cybernetics news I have seen in quite a while. I've been hoping that some day within my lifespan artificial senses could be used. Well, now it looks like they can. Maybe they make for low-resolution video, maybe they can be used for information readout. Yeah, it would look weird, but this can give you (for example) a read heads-up display that doesn't interfere with your vision. Or an interface for processing senses from remotely controlled robots. Imagine the fun business users would have being able to "read" their email while driving. The possibilities are endless.

But say you have two black boxes. The first uses Diffie-Hellman to exchange a key for subsequent AES encryption; the second exchanges a one time pad using quantum cryptography. What's the advantage of the second? In a passive attack (snooping alone), the snooper can't break Diffie-Hellman. In an active attack (man-in-the-middle), quantum crypto fails as well: I just put a machine in the middle that acts as A to B and B to A, receive one pad from A and send a completely different one to B, and go on my merry way, transparently reencrypting anything passing through.

You can't perform a man-in-the-middle attack with quantum crypto because the one-time-pads are exchanged in advance. You can't send an OTP with the message, you have to share it in a secure manner at some previous time. In the quantum crypto case, you would create and distribute the entangled particles ahead of time, then use the OTP to send a strong symmetric crypto key and encrypt your normal communication with that.

You can't intercept that one-time-pad key transmission because, if you did, you wouldn't be able to reproduce the OTP to re-encrypt your man-in-the-middle key to be sent to the other party. While quantum crypto doesn't prevent interference, it makes it impossible for the interference to not be noticed. That is its advantage.

I think you underestimate the age of Nirvanna fans. The current "younger" population considers Nirvanna irrelevant. (Which, by the way, I consider good, as I too hate it.)