mlsanityData to 14 Oct 2026

Position: The Most Expensive Part of an LLM should be its Training Data

arXiv 2504.12427 ↗First posted 16 Apr 2025cs.CL cs.AI cs.CYcited by 16

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Abstract (arXiv)

Training a state-of-the-art Large Language Model (LLM) is an increasingly expensive endeavor due to growing computational, hardware, energy, and engineering demands. Yet, an often-overlooked (and seldom paid) expense is the human labor behind these models' training data. Every LLM is built on an unfathomable amount of human effort: trillions of carefully written words sourced from books, academic papers, codebases, social media, and more. This position paper aims to assign a monetary value to this labor and argues that the most expensive part of producing an LLM should be the compensation provided to training data producers for their work. To support this position, we study 64 LLMs released between 2016 and 2024, estimating what it would cost to pay people to produce their training datasets from scratch. Even under highly conservative estimates of wage rates, the costs of these models' training datasets are 10-1000 times larger than the costs to train the models themselves, representing a significant financial liability for LLM providers. In the face of the massive gap between the value of training data and the lack of compensation for its creation, we highlight and discuss research directions that could enable fairer practices in the future.

Key facts. Cited by 16 papers in the map (data through 14 Oct 2026). Builds on 18 of its 42 references that are in the map. First posted on arXiv 16 Apr 2025.

Builds on

18 of 42 references.

References · 18

  1. 2023LLaMA: Open and Efficient Foundation Language Modelscited by 14,132
  2. 2023Llama 2: Open Foundation and Fine-Tuned Chat Modelscited by 13,028
  3. 2020Scaling Laws for Neural Language Modelscited by 6,586
  4. 2024Phi-3 Technical Report: A Highly Capable Language Model Locally on Your Phonecited by 1,917
  5. 2017Understanding Black-box Predictions via Influence Functionscited by 1,741
  6. 2019Common Voice: A Massively-Multilingual Speech Corpuscited by 1,384
  7. 2024The FineWeb Datasets: Decanting the Web for the Finest Text Data at Scalecited by 1,160
  8. 2024Phi-4 Technical Reportcited by 711
  9. 2019Data Shapley: Equitable Valuation of Data for Machine Learningcited by 629
  10. 2020Estimating Training Data Influence by Tracing Gradient Descentcited by 580
  11. 2024DataComp-LM: In search of the next generation of training sets for language modelscited by 398
  12. 2022Will we run out of data? Limits of LLM scaling based on human-generated datacited by 195
6 more
  1. 2024Language models scale reliably with over-training and on downstream taskscited by 113
  2. 2024The rising costs of training frontier AI modelscited by 95
  3. 2024What is Your Data Worth to GPT? LLM-Scale Data Valuation with Influence Functionscited by 94
  4. 2023SILO Language Models: Isolating Legal Risk In a Nonparametric Datastorecited by 71
  5. 2023Call for Papers -- The BabyLM Challenge: Sample-efficient pretraining on a developmentally plausible corpuscited by 62
  6. 2024Consent in Crisis: The Rapid Decline of the AI Data Commonscited by 46

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Citing papers per year: 2025: 4; 2026: 12.

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  1. 2025Common Corpus: The Largest Collection of Ethical Data for LLM Pre-Trainingcited by 20
  2. 2025KnowRL: Teaching Language Models to Know What They Knowcited by 5
  3. 2025Reasoning Pattern Matters: Learning to Reason without Human Rationalescited by 2
  4. 2025Logical Structure as Knowledge: Enhancing LLM Reasoning via Structured Logical Knowledge Density Estimationcited by 1
  5. 2026From Reflection to Repair: A Scoping Review of Dataset Documentation Toolscited by 1
  6. 2026FlexServe: A Fast and Secure LLM Serving System for Mobile Devices with Flexible Resource Isolationcited by 1
  7. 2026Position: the Stochastic Parrot in the Coal Mine. Model Collapse is a Threat to Low-Resource Communitiescited by 1
  8. 2026Crypto x AI, AI x Crypto: A Surveycited by 1
  9. 2026Position: Stop Preaching and Start Practising Data Frugality for Responsible Development of AIcited by 0
  10. 2026From Performance to Purpose: A Sociotechnical Taxonomy for Evaluating Large Language Model Utilitycited by 0
  11. 2026What Is Missing: Interpretable Ratings for Large Language Model Outputscited by 0
  12. 2026On the Fragility of Data Attribution When Learning Is Distributedcited by 0
4 more
  1. 2026Position: AI for Science Should Treat Measurement-to-Dataset Pipelines as Inference Componentscited by 0
  2. 2026FlexServe: A Fast and Secure LLM Serving System for Mobile Devices with Flexible Resource Isolationcited by 0
  3. 2026CausalMix: Data Mixture as Causal Inference for Language Model Trainingcited by 0
  4. 2026An Investigation of the NeurIPS and ICML 2025 Position Trackscited by 0