Recent research in federated large language models (LLMs) has primarily focused on enabling clients to fine-tune their locally deployed homogeneous LLMs collaboratively or on transferring knowledge from server-based LLMs to small language models (SLMs) at downstream clients. However, a significant gap remains in the simultaneous mutual enhancement of both the server’s LLM and clients’ SLMs. To bridge this gap, we propose FedMKT, a parameter-efficient federated mutual knowledge transfer framework for large and small language models. This framework is designed to adaptively transfer knowledge from the server’s LLM to clients’ SLMs while concurrently enhancing the LLM with clients’ unique domain insights. We facilitate token alignment using minimum edit distance (MinED) and then selective mutual knowledge transfer between client-side SLMs and a server-side LLM, aiming to collectively enhance their performance. Through extensive experiments across three distinct scenarios, we evaluate the effectiveness of FedMKT by utilizing diverse public LLMs and SLMs on a variety of NLP text generation tasks. Empirical results demonstrate that FedMKT simultaneously boosts the performance of both LLMs and SLMs. Our code has been contributed to the FATE open-source project and is now publicly accessible at https://github.com/FederatedAI/FATE-LLM/tree/main/python/fate_llm/algo/fedmkt

Compressing Large Language Models (LLMs) into task-specific Small Language Models (SLMs) encounters two significant challenges: safeguarding domain-specific knowledge privacy and managing limited resources. To tackle these challenges, we propose PPC-GPT, a novel unified framework that systematically addresses both privacy preservation and model compression in federated settings. PPC-GPT works on a server-client federated architecture, where the client sends differentially private (DP) perturbed task-specific data to the server’s LLM. The LLM then generates synthetic data along with their corresponding rationales. This synthetic data is subsequently used for both LLM pruning and retraining processes. Our framework’s key innovation lies in its holistic integration of privacy-preserving mechanisms, synthetic data generation, and task-specific compression techniques, creating unique benefits through component interaction. Our experiments across diverse text generation tasks demonstrate that PPC-GPT successfully achieves dual objectives: maintaining competitive performance comparable to full-sized LLMs while ensuring robust privacy protection through its federated architecture. Our code has been contributed to the FATE open-source project and is now publicly accessible at https://github.com/FederatedAI/FATE-LLM/tree/main/python/fate_llm/algo/ppc-gpt

Large Language Models (LLMs) have emerged as a transformative force in artificial intelligence, demonstrating exceptional proficiency across various tasks. However, their deployment in resource-constrained environments and concerns over user data privacy pose significant challenges. In contrast, Small Language Models (SLMs) offer computational efficiency but often lag in performance. To address these issues, we propose FedCoT, a federated framework designed for the Chain-of-Thought (CoT) distillation of knowledge from LLMs to SLMs, while ensuring the preservation of clients’ data privacy. FedCoT ensures secure and efficient knowledge transfer from an LLM on a high-powered server to an SLM on a resource-constrained client, while adhering to privacy requirements. Leveraging perturbed prompts and rationales generated through the CoT approach, the framework enhances the performance of the client’s SLM without compromising user data privacy within a multi-task learning framework. We propose two privacy protection strategies: the Exponential Mechanism Strategy and the Adaptive Exponential Mechanism Strategy, which balance user prompt privacy and the usability of rationales. Empirical evaluation on various text generation tasks demonstrates the effectiveness of FedCoT in training task-specific SLMs with enhanced performance while prioritizing data privacy protection. Our code has been contributed to the FATE open-source project and is now publicly accessible at https://github.com/FederatedAI/FATE-LLM/tree/main/python/fate_llm/algo/fedcot