If you wish to discuss whether you feel encryption is necessary, let's raise that in a separate topic. It is very common - almost all of the companies I work with require that the laptops of their employees have full disk encryption.
Let's keep this thread focused on whether the V supports hardware encryption or whether we can only use software-encryption with the V. Perhaps @Konstantinos, if you don't mind, you could raise it with your engineers again, given the new information from Vithren which seems to contradict what they've told us?
Second question: I had a look through pauliunas's excellent video showing the BIOS options:
Under security, there are only two options: user password and supervisor password. I could not see any other password settings in the other BIOS screens. That makes it look like that there is no way to set the HDD password, and therefore, it will be impossible to use hardware encryption on the V. If that assessment is correct, would you be able to ask your engineers as to whether they could change the BIOS so that the user can set a HDD password that sets the drive's in-built encryption? I think that would be a great feature to have, especially as the Surface Pro 4 does not have it!