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12.4 Synthetic data and distillation at scale

You can build a training set without labelling by hand.

Before:08. Large Language Models

Synthetic data and distillation manufacture training sets without hand-labelling: generate with a strong model, filter hard, train the student — and much of the current small-model boom runs on exactly this. It sits in the frontier module as the data-side frontier. The leverage lives in the filter, and skipping it is the trap; recursive training on unfiltered generations degrades quality generation over generation, a decay with its own name — model collapse.

Work through these

  • Generating and filtering synthetic data

    Generating training data with a model, then filtering it to keep what is actually useful. The filtering matters more than the generation.

  • Teacher–student distillation

    Training a smaller model on the outputs of a larger one, which transfers much of the capability at a fraction of the running cost. It is the most reliable technique in this topic.

  • Model collapse and diversity loss

    Training repeatedly on generated data narrows the variety of what a model produces. Understanding this failure is what stops synthetic data being treated as free.

  • Licensing and provenance of generated data

    Generated data carries obligations from the model that produced it and from the data behind that model. These are unsettled questions worth knowing exist before building on them.

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Links last checked 29 Aug 2026.

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