Abstract:Federated Learning (FL) algorithms implicitly assume that clients passively comply with server-side orchestration by sharing local model updates upon server request. However, this overlooks an important aspect in real-world cross-silo environments: clients are often rational agents who may prioritize their utilities such as local model performance over that of the global model. In settings with significant statistical heterogeneity, rational clients may opt out of the federation if the perceived benefits of collaboration fail to meet their local utility thresholds. Such attrition degrades the global model performance and can lead to the collapse of the federated training process. In this work, we introduce FedUCA, (Federated Learning by Utility-Constrained Stochastic Aggregation for Improving Rational Participation), a framework that formalizes the server's role as an optimizer seeking to maximize global model performance by sustaining client participation. We substantiate our framework through extensive experiments on standard datasets demonstrating that by prioritizing participation feasibility, FedUCA achieves significantly higher client retention and, consequently, a superior global model performance.
From: Yashwanth M [view email]
[v1]
Mon, 18 May 2026 08:12:36 UTC (2,063 KB)
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