Federated Instruction Tuning of LLMs with Domain Coverage Augmentation

Federated Domain-specific Instruction Tuning (FedDIT) utilizes limited cross-client private data together with various strategies of instruction augmentation, ultimately boosting model performance within specific domains. To date, the factors affecting FedDIT remain unclear, and existing instruction augmentation methods primarily focus on the centralized setting without considering distributed environments. Our experiments reveal that the cross-client domain coverage, rather than data heterogeneity, drives model performance in FedDIT. In response, we propose FedDCA, which optimizes domain coverage through greedy client center selection and retrieval-based augmentation. At its core, the greedy selection procedure iteratively picks client centers that maximize the diversity and coverage of the instruction space while avoiding redundancy with previously selected centers. This ensures broad yet efficient coverage of the domain distribution across clients. For client-side computational efficiency and system scalability, FedDCA$^*$, the variant of FedDCA, utilizes heterogeneous encoders with server-side feature alignment. Extensive experiments across code, medical, financial, and mathematical domains substantiate the effectiveness of both methods, as well as plug-and-play capability. We further analyze privacy preservation against memory extraction attacks, showing that while privacy leakage risk is independent of augmented public data ratio, it decreases or converges as training progresses.