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Synthetic Data for Privacy and Testing

How synthetic data is generated, where it helps — testing, sharing, rare cases — and the limits on privacy and realism.

Editorial team 2 min read

Synthetic data is artificially generated data that mimics the statistical properties of real data without being real records.

How It's Generated

  • Rule-based: generate values from defined distributions and business rules. Good for software testing.
  • Statistical models: learn distributions and correlations from real data and sample new records.
  • Deep generative models: learn complex patterns, including in images and text.
  • Simulation: model a process, such as traffic or a factory, and record the outputs.

Where It Helps

  • Testing and development without exposing production data.
  • Sharing data with partners or researchers when real data is sensitive.
  • Rare scenarios — edge cases and failures that seldom occur in real data.
  • Balancing under-represented classes.

Privacy Isn't Automatic

Synthetic data generated from real records can still leak information, especially about unusual individuals. Assess re-identification risk, and consider techniques with formal guarantees, such as differential privacy, for sensitive data.

Realism Limits

Synthetic data captures the patterns the generator learned — and misses others. Models trained only on synthetic data may perform worse on real data.

Validate It

  • Compare distributions and relationships with the real data.
  • Train on synthetic, test on real, and compare with training on real data.
  • Check privacy risk.

Label It

Mark synthetic data clearly so it isn't mistaken for real data later.

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