At first, test data and training data may seem like the same thing, however there are several fundamental differences between the two that can make or break your data model.
Training Data is used to build or create a model in its earlier stages and can be implemented to help the model run. Training Data is often found in machine learning to ensure the data model can be "trained" to perform several actions, and ensuring the future development of the API and algorithms that a machine will continuously work with.
Test Data on the other hand are datasets which are used to validate existing data models to make sure algorithms produce correct results, machine learning is happening correctly, and output which mirrors intended findings are consistent. Alternatively, test data can be used to invalidate a data model and disprove it's efficiency, or find that a data model or AI may be producing sub-optimal results and therefore may need further tests or different kinds of training to reach maximum efficiency. Below, is a diagram depicting the data training, validation, and testing model and the different steps that may be encompassed throughout the different processes.
Training AI or any sort of machine learning is a rigorous process that requires a fair amount of training, validation, and testing, and it's very rare a data model is perfected on its first try. That's why it's important for training and test data to be differentiated; otherwise, results will appear too similar, leading observations and evaluations for both datasets to be inconclusive, ensuring more testing and validation would have to be done.
What Test Data is Being Used Today and by Who?
An organization’s development ecosystem, including technical partners, software development and
contractors have a growing need to access private and confidential data to do their jobs. Relevant data sources are a necessary component of the software development, technical integration, testing, implementation and ongoing operations and maintenance processes and production data sources are commonly accessed and modified for this purpose. Complex, integrated technology solutions can no longer be managed within an organization’s internal operations but requires a large and varied global ecosystem of partners, consultants, technology companies and contractors. There is a similar need for test data within the organizations cyber security operations. It is also common practice for this ecosystem to utilize historical data, captured network traffic and simple network traffic generation technology for testing purposes.
With every new year comes exciting new updates and trends to the technological world around us! We at ExactData are excited about many trends and future advancements to come, but here are five that we're excited about in particular!
1) Advancement of AI and Mobile Intelligence
It's no secret that AI and mobile intelligence are evolving everyday. We see growth in both of these departments to no end, where things like facial recognition, fingerprint, voice, and eyes scans are all becoming more of a reliable reality! This is seen through many of the innovations of Apple, Samsung, and Google have brought to the table, but also through other fields of data science as well!
2) Automation and Innovation
When one thinks of automation and innovation, jobs and mundane tasks are often the first things thought of. How is data being innovated or automated you may ask? Well being able to derive data in faster response rates, being able to generate, switch, and use data for test purposes on the fly for exact results seems innovative to us! This innovation can be traced to artificial intelligence as well through pattern recognition, GPS sensors, self-driving cars, and more!
3) Cloud Computing and Cyber Security
Cloud computing is becoming more distributed, meaning the origin of the cloud can distribute services to other locations while operating fully in effect from one area. Server updates, latency checks, and bandwidth fixes are becoming quicker every year which not only affects the cloud and its functions but can also be used to stop breaches, glitches, and hackers right in their tracks as soon as they get into the system.
4) Financial Patterns and Recognition
Recognizing financial data patterns through data has been historically tricky due to the immense analytical prowess and and observational skills that could be needed. AI and statistical learning developments however can be trained to pick up these patterns more quickly than ever before, and with less error too. Financial analytics and trend recognition will certainly see upgrades in the upcoming year, especially with more variables such as cryptocurrency coming into play.
5) Accessibility and Privacy
Accessibility and privacy for data files come hand in hand; by making something more accessible you also have the means to make it more restricted. Added levels of security for data can come in many different forms; test data, artificial data, cloud computing, advanced machine learning, more advanced security protocols and more. The rule of thumb is to keep everything private that you may need for later so that nobody else can take or modify it.
While there are so many trends we believe to be up and coming in the world of data, these were just some of the few we believe to be relevant to both the industry and general public as a whole.
Most scientists agree that no one really knows how the most advanced algorithms do what they do, nor how well they are doing it. That could be a problem. Advances in synthetic data generation technologies can help. These algorithms generate data with a known ground truth, sufficient volumes and with statistically relevant true and false positives (TP, FP) and true and false negatives (TN, FN) for the nature of the test. AI algorithms can now be measured for precision, c, as the fraction of the predicted matches that are true positive matches, or c = TP/(TP + FP).
A very interesting application of high-fidelity synthetic data generation techniques is to reduce credit card fraud. By 2025, the global losses to credit card fraud are expected to reach almost $50 billion. Detecting fraudulent transactions in a large data-set poses a problem because they are such a small percentage of the overall transactions. Banks and financial institutions are in need of a solution that can correctly identify both fraudulent and non-fraudulent transactions, and detect false/true negatives and false/true positives, enabling the creation of receiver operating curves and tuning the system to optimize for the cost to correct the fraud payment versus the cost of the payment. High fidelity synthetic data solves this dilemma by generating volumes of non-fraudulent transactions while interweaving complex fraud patterns into a very small subset of the overall transactions. The fraud patterns are known, enabling the credit card fraud detection system to be optimized.
High interest helping to implement Cyber Behavioral Tools was expressed by many potential clients, including the Cyber Innovation Manager from one of the world's largest banks, a Divisional Chief Information Security Officer for one of the biggest US Federal Systems Integrator's and one of the largest Cyber Independent Testing Laboratories. During the demonstrations large amounts of internally consistent data was generated for all desired behaviors. Data was generated over any time-frame to output: