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Analyzing Performance Limits in Language Models

A research team has access to a virtually limitless supply of high-quality training data. They train a language model and find that after training on trillions of tokens, the model's performance on a test set stops improving and plateaus at a certain loss value. Based on the principle that test loss is composed of separate, additive terms for model size, dataset size, and a constant error, what are the two remaining factors that define this performance plateau? Explain why simply adding more data does not lead to further improvement.

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Updated 2025-10-08

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