[HN Gopher] Model Distillation in the API
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       Model Distillation in the API
        
       Author : GavCo
       Score  : 60 points
       Date   : 2024-10-31 17:23 UTC (5 hours ago)
        
 (HTM) web link (openai.com)
 (TXT) w3m dump (openai.com)
        
       | GavCo wrote:
       | From today's ChatGPT search announcement: "The search model is a
       | fine-tuned version of GPT-4o, post-trained using novel synthetic
       | data generation techniques, including distilling outputs from
       | OpenAI o1-preview."
        
       | Permik wrote:
       | Do note that this article was posted October 1, 2024, so this
       | capability has been available for a month.
        
       | patelajay285 wrote:
       | We've been working on a Python framework where one of the use
       | cases is easy distillation from larger models to smaller open-
       | source models and smaller-closed source models (where you don't
       | have to still use / pay for the closed-source API service):
       | https://datadreamer.dev/docs/latest/
       | 
       | Here's an (now slightly outdated) example of OpenAI GPT-4 =>
       | OpenAI GPT-3.5:
       | https://datadreamer.dev/docs/latest/pages/get_started/quick_...
       | 
       | But you can also do GPT-4 to any model on HuggingFace. Or
       | something like Llama-70B to Llama-1B.
       | 
       | For some tasks, this kind of distillation works extremely well
       | given even a few hundred examples of the larger model performing
       | the task.
        
         | bangaladore wrote:
         | > OpenAI GPT-4 => OpenAI GPT-3.5
         | 
         | I'm confused why you are mentioning 3.5 here. The weights
         | aren't public, so you aren't actually running any derivative of
         | GPT-3.5
         | 
         | Or am I mistaken. Can you clarify?
        
           | Tiberium wrote:
           | > distillation from larger models to smaller open-source
           | models and smaller-closed source models
           | 
           | They don't limit it only to open-source models. And you can
           | finetune 3.5 Turbo on OpenAI API.
        
       | behnamoh wrote:
       | With each announcement, OpenAI kills yet another class of
       | startups. I wonder if there are areas that OpenAI (and other AI
       | companies) can't enter because those seem to be the only viable
       | startup ideas in the long-term.
       | 
       | Currently, OAI does all the following:
       | 
       | - offers flagship models
       | 
       | - offers lite models
       | 
       | - offers easy finetuning of their models
       | 
       | - offers structured output and guaranteed JSON output.
       | 
       | - offers parallel tool/function calling which remains unmatched.
       | 
       | - has low API costs.
       | 
       | - offers a nice UI for their models
       | 
       | - offers Mac, iOS, Android, Windows app clients.
       | 
       | - offers image generation capabilities INTEGRATED with their
       | language models.
       | 
       | - offers two-tier subscription plans for ordinary/pro (team)
       | users.
       | 
       | - offers custom GPTs which can be used by ordinary people to
       | create GPT experiences tailored to specific tasks (no need to
       | build a website on your own).
       | 
       | - allows users to easily share chats!! (it took Anthropic a long
       | time to have this feature, and even now it's not as good as
       | OpenAI's solution).
       | 
       | - offers prompt caching and task scheduling to further save
       | costs.
       | 
       | - offers unrivaled voice-to-text models at different sizes
       | (Whisper).
       | 
       | - offers text-to-voice models that feel much more natural than
       | the competition.
       | 
       | - has outstanding documentation.
       | 
       | - sets the standard for API (all other companies have to follow
       | their conventions, such as `messages`,
       | `.choices[0].message.content`, etc.)
       | 
       | - has the most capable team to, idk, build AGI/ASI...
        
         | danenania wrote:
         | I wouldn't say this kills a class of startups. Being
         | constrained to a single model provider is quite limiting for
         | this kind of use case. What if you get better cost/performance
         | results by distilling into an open source model? In a landscape
         | that changes so rapidly, there's a lot of value in provider-
         | agnostic tooling.
        
         | littlestymaar wrote:
         | That OpenAI will kill every startup that build a product on top
         | of their technology isn't really a good signal for using OpenAI
         | as a technological platform ...
        
           | victorbjorklund wrote:
           | Lots of companies are just wrappers around an API. Can be
           | compared to Apple "killing" startups that sold flashlight
           | apps to the first Iphone
        
           | firejake308 wrote:
           | Maybe it's better to build specific applications with
           | OpenAI's products (e.g., using the API to automate a specific
           | business process in your company) than to build a company
           | offering a generic additional functionality like a UI or
           | fine-tuning or custom prompts. Or at least, that seems like
           | the target audience that OpenAI wants to sell their product
           | to.
        
         | ben_w wrote:
         | > - offers unrivaled voice-to-text models at different sizes
         | (Whisper).
         | 
         | It may be (close to) the best, but Whisper is nowhere near
         | _good enough_.
         | 
         | So, if you're got a great idea for how to massively improve on
         | that (I don't), there's a business opportunity there.
        
         | TZubiri wrote:
         | Pick an industry and OpenAI will never compete with you. They
         | are going for the AGI dream, they want to be a company valued
         | at 50T. They will never settle for doing any actual grunt work.
        
         | viraptor wrote:
         | I wouldn't put their API costs as low. There are a few decent
         | competitors. They only recently caught up with Claude and for
         | example for coding deepseek is much cheaper. Others also got
         | the cheap prompt caching before OpenAI caught up. They may have
         | good features, but pricing is still meh.
        
       | simonw wrote:
       | They announced this at DevDay at the beginning of October.
       | 
       | It's effectively a layer of (well needed) sugar on top of their
       | existing fine-tuning mechanism.
       | 
       | The challenge with fine-tuning is collecting a representative
       | dataset to tune against. The tooling they added makes it easy for
       | you to persist your prompts and responses within the OpenAI
       | platform, and then later select those persisted pairs (that were
       | created with e.g. GPT-4o) and use them to fine-tune a cheaper
       | model (like GPT-4o mini) - such that the more expensive model is
       | effectively "teaching" the cheaper model what to do.
       | 
       | You could do this before, but it was a LOT of work. The new
       | "distillation" features make it easier.
        
         | msp26 wrote:
         | But doesn't this fully lock you into using OpenAI's offerings?
         | If you store the finetuning dataset yourself, you are free to
         | use it on whatever model/provider/self hosting. And I'm finding
         | it fairly straightforward to switch between providers at will.
         | Plus it's nice to do additional programmatic validation on LLM
         | outputs before using them for finetuning (e.g. standardizing
         | country names, calculations).
         | 
         | Am I missing something?
        
           | simonw wrote:
           | Yes, total lockin.
           | 
           | Remember though, OpenAI and pretty much all of the other
           | providers have things in their terms that roughly say you're
           | not allowed to use their models to train models from other
           | providers - so fine-tuning a model against synthetic data
           | created using OpenAI is likely a terms violation anyway.
        
       | janalsncm wrote:
       | Part of the point of distilling from their models is that I
       | control the model, its availability, and its cost to me. So while
       | this may be a convenient feature, unless I can download the
       | weights it wouldn't replace my workflow.
       | 
       | This does raise the bar for any future startups though. If your
       | plan was to distill GPT4 outputs and lease the weights to me
       | through a REST API, I probably won't be interested.
        
       | serjester wrote:
       | To anyone that thinks models are going to be commodified, it
       | seems like it's going to be exceedingly difficult to compete with
       | OpenAI. The developer experience working with them is just too
       | good.
       | 
       | Sure you could use a different providers, but you're going to be
       | stuck with an incredibly fragmented ops stack. My experience with
       | Google has been shockingly bad and Anthropic has got a good
       | amount of catching up to do. No one else is remotely competitive.
       | Honestly would love to see something from Meta long term.
        
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