# Revisiting Privacy, Utility, and Efficiency Trade-offs when Fine-Tuning Large Language Models

arXiv: https://arxiv.org/abs/2502.13313 · HTML: https://mlsanity.com/paper/2502.13313/

## Key facts

- Cited by 5 papers in the map (data through 14 Oct 2026).
- Builds on 47 of its 60 references that are in the map.
- First posted on arXiv 18 Feb 2025.

## Builds on (most cited first, 30 of 47)

- [Adam: A Method for Stochastic Optimization](https://mlsanity.com/paper/1412.6980/) (2014)
- [Language Models are Few-Shot Learners](https://mlsanity.com/paper/2005.14165/) (2020)
- [GPT-4 Technical Report](https://mlsanity.com/paper/2303.08774/) (2023)
- [Llama 2: Open Foundation and Fine-Tuned Chat Models](https://mlsanity.com/paper/2307.09288/) (2023)
- [Measuring Massive Multitask Language Understanding](https://mlsanity.com/paper/2009.03300/) (2020)
- [Scaling Laws for Neural Language Models](https://mlsanity.com/paper/2001.08361/) (2020)
- [Qwen2.5 Technical Report](https://mlsanity.com/paper/2412.15115/) (2024)
- [Parameter-Efficient Transfer Learning for NLP](https://mlsanity.com/paper/1902.00751/) (2019)
- [HellaSwag: Can a Machine Really Finish Your Sentence?](https://mlsanity.com/paper/1905.07830/) (2019)
- [Prefix-Tuning: Optimizing Continuous Prompts for Generation](https://mlsanity.com/paper/2101.00190/) (2021)
- [The Power of Scale for Parameter-Efficient Prompt Tuning](https://mlsanity.com/paper/2104.08691/) (2021)
- [Deep Learning with Differential Privacy](https://mlsanity.com/paper/1607.00133/) (2016)
- [The Pile: An 800GB Dataset of Diverse Text for Language Modeling](https://mlsanity.com/paper/2101.00027/) (2020)
- [Extracting Training Data from Large Language Models](https://mlsanity.com/paper/2012.07805/) (2020)
- [Pythia: A Suite for Analyzing Large Language Models Across Training and Scaling](https://mlsanity.com/paper/2304.01373/) (2023)
- [Towards a Unified View of Parameter-Efficient Transfer Learning](https://mlsanity.com/paper/2110.04366/) (2021)
- [The Secret Sharer: Evaluating and Testing Unintended Memorization in Neural Networks](https://mlsanity.com/paper/1802.08232/) (2018)
- [Crowdsourcing Multiple Choice Science Questions](https://mlsanity.com/paper/1707.06209/) (2017)
- [Quantifying Memorization Across Neural Language Models](https://mlsanity.com/paper/2202.07646/) (2022)
- [DoRA: Weight-Decomposed Low-Rank Adaptation](https://mlsanity.com/paper/2402.09353/) (2024)
- [Aligning AI With Shared Human Values](https://mlsanity.com/paper/2008.02275/) (2020)
- [GPT Understands, Too](https://mlsanity.com/paper/2103.10385/) (2021)
- [P-Tuning v2: Prompt Tuning Can Be Comparable to Fine-tuning Universally Across Scales and Tasks](https://mlsanity.com/paper/2110.07602/) (2021)
- [A Comprehensive Overview of Large Language Models](https://mlsanity.com/paper/2307.06435/) (2023)
- [Instruction Tuning for Large Language Models: A Survey](https://mlsanity.com/paper/2308.10792/) (2023)
- [Large Language Models Can Be Strong Differentially Private Learners](https://mlsanity.com/paper/2110.05679/) (2021)
- [Differentially Private Fine-tuning of Language Models](https://mlsanity.com/paper/2110.06500/) (2021)
- [A Survey on Large Language Model (LLM) Security and Privacy: The Good, the Bad, and the Ugly](https://mlsanity.com/paper/2312.02003/) (2023)
- [Analyzing Leakage of Personally Identifiable Information in Language Models](https://mlsanity.com/paper/2302.00539/) (2023)
- [Membership Inference Attacks against Language Models via Neighbourhood Comparison](https://mlsanity.com/paper/2305.18462/) (2023)

## Built on by (most cited first, 5 of 5)

- [MaskSQL: Safeguarding Privacy for LLM-Based Text-to-SQL via Abstraction](https://mlsanity.com/paper/2509.23459/) (2025)
- [Rethinking Memorization Measures and their Implications in Large Language Models](https://mlsanity.com/paper/2507.14777/) (2025)
- [SA-ADP: Sensitivity-Aware Adaptive Differential Privacy for Large Language Models](https://mlsanity.com/paper/2512.01748/) (2025)
- [Randomized Masked Finetuning: An Efficient Way to Mitigate Memorization of PIIs in LLMs](https://mlsanity.com/paper/2512.03310/) (2025)
- [Know When To Fold 'Em: Token-Efficient LLM Synthetic Data Generation via Multi-Stage In-Flight Rejection](https://mlsanity.com/paper/2605.14062/) (2026)

## Abstract (arXiv)

We study the inherent trade-offs in minimizing privacy risks and maximizing utility, while maintaining high computational efficiency, when fine-tuning large language models (LLMs). A number of recent works in privacy research have attempted to mitigate privacy risks posed by memorizing fine-tuning data by using differentially private training methods (e.g., DP), albeit at a significantly higher computational cost (inefficiency). In parallel, several works in systems research have focussed on developing (parameter) efficient fine-tuning methods (e.g., LoRA), but few works, if any, investigated whether such efficient methods enhance or diminish privacy risks. In this paper, we investigate this gap and arrive at a surprising conclusion: efficient fine-tuning methods like LoRA mitigate privacy risks similar to private fine-tuning methods like DP. Our empirical finding directly contradicts prevailing wisdom that privacy and efficiency objectives are at odds during fine-tuning. Our finding is established by (a) carefully defining measures of privacy and utility that distinguish between memorizing sensitive and non-sensitive tokens in training and test datasets used in fine-tuning and (b) extensive evaluations using multiple open-source language models from Pythia, Gemma, Llama, and Qwen families and different domain-specific datasets.
