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In Elysium, we see the CEO of Armadyne, John Carlyle, hammer out some code and upload it to his brain. He is asked if he wants to protect the data and is prompted to choose either "Paralyze" or "Lethal", and chooses the latter.

At the end of the movie it is revealed that Max will die if the data is used, presumably due to this protection.

This seems to be a nonsensical plot point, because using this protection offers absolutely nothing to Carlyle. Clearly it doesn't deter anyone from stealing the data from him (since the protagonist's crew do just that), especially since the thieves wouldn't even know that it's protected until after they take it. And once they have the data, finding a victim to copy it to and sacrifice would be beyond trivial on an over-populated, impoverished Earth.

Carlyle puts himself at risk of getting killed by the protection if something goes wrong, without getting any benefit out of it. What possible reason could he have to use this technology?

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