Rethinking the GPT-5 Era: Integrating Synthetic Data into LLMs training

Terrance Alexander
b8125-spring2024
Published in
4 min readApr 16, 2024

This Monday, I listened to WSJ’s Tech News Briefing, which spoke to the challenges of training LLMs like GPT-4 and the anticipated GPT-5. Given my past experience working in novel synthetic data research, I believe we are at a critical juncture in the AI industry’s evolving landscape, especially with how major players develop these models.

Currently, we see diminishing returns as the scale and cost of training LLMs escalate dramatically. GPT-4, with its 1.7 trillion parameters and training on 13 trillion tokens, came with a hefty $100M price tag. The speculative leap to GPT-5 suggests a staggering cost exceeding $1B, alongside significant environmental concern.

The exponential growth in the cost and environmental impact of developing LLMs is a reflection of the increasing complexity and computational demands of these models. Each iteration from GPT-1 onwards has seen a substantial increase in the number of parameters (from millions to now trillions), indicating a trend towards more sophisticated and capable models. However, this trend also highlights the issue of declining marginal returns, where each incremental improvement in model performance requires disproportionately greater resources.

The partnership between OpenAI and Microsoft on the Stargate project, a $100B initiative to build a 5GW AI supercomputer, exemplifies the scale of investment and environmental considerations involved in advancing AI technology. The project’s ambition to power such a massive computational endeavor — potentially with nuclear energy — underscores the significant environmental footprint that underlies cutting-edge AI research.

Amidst this backdrop, the quest for high-quality training data has become increasingly desperate. Companies are scouring the internet for usable data, with OpenAI’s Sora project reportedly training on YouTube videos… directly against Alphabet’s policies! We also see a widespread scramble to utilize Reddit’s data (e.g. Google’s $60M deal for real-time access to Reddit). This highlights a critical issue: the dearth of high-quality data. The reliance on readily available data may be shortsighted, as the next phase of AI development could pivot towards enhancing data quality and incorporating synthetic data.

Synthetic data, generated through AI itself, presents an alternative to traditional data sources. To clarify, synthetic data is artificially created data that mimics real-world data patterns and characteristics. This process involves using algorithms to generate data points that closely resemble those found in actual datasets. By leveraging synthetic data, researchers and developers can augment their training datasets, providing additional examples and scenarios that may be difficult to obtain in real-world data.

Using synthetic data to train LLMs holds promise for overcoming some of the challenges associated with traditional data sourcing. Synthetic data can create tailored, high-quality datasets that can supplement existing data sources, helping address the industry’s data scarcity and bias issues. Additionally, synthetic data can be generated at scale and customized to specific use cases, providing greater flexibility and control over the training process.

However, it’s important to acknowledge that synthetic data brings challenges as well. One concern is the risk of “model overfitting,” where models trained on AI-generated content may struggle to distinguish between computer-written and human-written text. Additionally, synthetic data requires careful validation and testing processes to mitigate potential algorithmic biases. Despite these challenges, integrating synthetic data into AI development efforts can help address the growing demand for high-quality training data.

The emerging consensus among researchers and industry experts is that the future of AI development may not hinge solely on the quantity of data, but also on the quality and curation of datasets. The WSJ mentions that companies like Datalogy AI, founded by former Meta engineers, are exploring innovative approaches to model construction that prioritize data quality over sheer volume.

As we stand on the precipice of the GPT-5 era, the AI community is grappling with the dual challenges of escalating costs and environmental impacts. As we pursue more advanced models, we need to reevaluate our approach to data, with a shift towards quality and sustainability. The integration of synthetic data and innovative model construction techniques may offer a path forward, enabling the continued advancement of AI technology while hopefully mitigating its financial and environmental toll.

Sources:

  1. The Cost and Environmental Impact of Training the Next Generation of Language Models
  2. OpenAI and Microsoft’s Stargate Project: Building a $100 Billion AI Supercomputer
  3. OpenAI’s Sora Project: Utilizing YouTube Data Against Alphabet’s Policies
  4. Google’s $60 Million Deal for Real-Time Access to Reddit Data
  5. Datalogy AI: Innovating Model Construction with Former Meta Engineers
  6. The Role of Synthetic Data in Training Large Language Models
  7. Exploring Synthetic Data: Challenges and Potential in AI Development
  8. Evolution of Large Language Models: From GPT-1 to GPT-4 and Beyond

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