Synthetic Data 101: What are the use cases for synthetic data?

Synthetic data accurately mimics real-world data. It serves as a placeholder for production data in development and testing workflows and is also used to improve the quality of machine learning algorithms. Common use cases revolve around product development/testing, machine learning, data analysis, and data privacy and security. For example, financial institutions use synthetic data to generate reliable market data for algorithmic trading and risk analysis, while healthcare providers use it to analyze patient data without compromising sensitive patient information. Additionally, synthetic data is used in machine learning algorithms to improve performance and accuracy and thus accelerate the development process.