AutoEncoder-Compressed Parallel Split Learning for Pre-trained Model Fine-Tuning

Adapting large AI models (LAMs) to personalized edge data is challenging because wireless devices have limited memory, computation, and uplink capacity. Federated fine-tuning preserves data privacy but still requires each device to host the full model, while split learning reduces device memory at the cost of heavy activation transmission. This paper proposes TSFLora, a token-compressed split fine-tuning framework for communication-efficient LAM adaptation at the edge. TSFLora combines attention-guided token selection, token merging, low-bit activation quantization, and LoRA-based adaptation within a split federated training pipeline. The key idea is to compress the intermediate token sequence before transmission so that the system reduces both uplink traffic and server-side processing without changing the frozen backbone. Experiments on ViT models over CIFAR-10, CIFAR-100, and TinyImageNet show that TSFLora achieves up to \textbf{6.8$\times$} communication reduction and \textbf{41%} memory saving while maintaining competitive accuracy.

Federated learning of foundation models faces a fundamental resource-asymmetry challenge: the institutions holding the most valuable domain-specific data cannot host billion-parameter models. Existing heterogeneous federated approaches attempt to bridge this gap through parameter-efficient tuning, model pruning, or knowledge distillation, yet each trades away a critical property, whether full-model memory reduction, architectural self-containedness, or representational fidelity, leaving the core tension unresolved. We propose FedSLM, a parameter-centric framework for federated fine-tuning with heterogeneous compressed clients. FedSLM uses SVD-based decomposition to produce self-contained client models, whose low-rank subspaces form nested manifolds that are structurally compatible for aggregation. It then applies a two-stage protocol that synchronizes lightweight adapters within compression groups and fuses full-rank reconstructions across groups via structural alignment. Finally, a weak-to-strong elicitation step with auxiliary confidence loss transfers the aggregated knowledge to the full-scale server, while an explicit bias--variance trade-off mitigates compression artifacts. We provide theoretical guarantees for adapter-level aggregation, subspace-alignment bounds for cross-group fusion, and a characterization of how the confidence loss mitigates weak-supervision noise. Experiments on natural language and vision--language benchmarks show that FedSLM outperforms existing federated baselines under both IID and non-IID partitions, while client models operate at roughly 50% of the GPU memory required by the full model.

Scaling models has led to significant advancements in deep learning, but training these models in decentralized settings remains challenging due to communication bottlenecks. While existing compression techniques are effective in data-parallel, they do not extend to model parallelism. Unlike data-parallel training, where weight gradients are exchanged, model-parallel requires compressing activations and activation gradients as they propagate through layers, accumulating compression errors. We propose a novel compression algorithm that compresses both forward and backward passes, enabling up to 99% compression with no convergence degradation with negligible memory/compute overhead. By leveraging a recursive structure in transformer networks, we predefine a low-dimensional subspace to confine the activations and gradients, allowing full reconstruction in subsequent layers. Our method achieves up to 100x improvement in communication efficiency and enables training billion-parameter-scale models over low-end GPUs connected via consumer-grade internet speeds as low as 80Mbps, matching the convergence of centralized datacenter systems with 100Gbps connections with model parallel.