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Invisible Watermarks Secure Synthetic Tabular Data in the Age of Generative AI

Why Synthetic Data Needs a New Kind of Protection

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Generative AI is transforming how businesses access and use data, especially in sensitive industries where using real customer information is restricted. Synthetic tabular data, AI-generated tables that mimic real datasets, lets organizations gain insights without compromising individual privacy. 

Yet, the rapid growth of synthetic data introduces new risks, including challenges in tracking its origin and preventing misuse such as fraud or regulatory violations.

Embedding Trust: The Evolution of Watermarking in AI

To counter these risks, IBM researchers and partners have pioneered a technique for embedding invisible watermarks into AI-generated tabular data. Building on earlier successes in watermarking AI-generated text and images, this new approach, showcased at ICLR 2025, adapts to the unique structure of data tables. 

The result is a robust system for proving data ownership, monitoring distribution, and discouraging malicious activity all without affecting data utility.

The Case for Watermarking Synthetic Tables

For organizations leveraging AI-generated data, it's crucial to ensure that synthetic tables are not used unethically or in ways that might damage their reputation or legal standing. Watermarking offers a hidden but verifiable signature embedded within the data, enabling companies to:

  • Authenticate the source of synthetic tables
  • Identify unauthorized use or leaks
  • Demonstrate compliance in regulated sectors

As Lydia Y. Chen, a co-creator of these methods, emphasizes, reliable attribution is vital for resolving disputes and assigning responsibility when synthetic data is misused.

Tailoring Watermarks to Different Data Types

Watermarking strategies must adapt to each modality. In AI-generated text, watermarks are typically hidden by subtly influencing token selection, though this can sometimes affect naturalness. 

IBM’s Duwak algorithm, introduced in 2024, mitigates this by embedding two complementary watermarks per token, preserving quality and enhancing detection, even in brief passages.

For AI-generated images, watermarking often involves altering the noise in diffusion models, so a detectable pattern appears when decoded with a secret key. These approaches have been effective for text and images, but tabular data presents distinct challenges.

Introducing TabWak: Watermarking for AI-Generated Tables

Unlike images, tables are generated row by row, each with a unique representation. Enter TabWak: IBM’s watermarking framework for tabular data. 

TabWak subtly tweaks the generation process of each row, embedding watermark patterns that are similar enough for collective recognition but varied enough to preserve the data’s statistical properties.

This means synthetic tables stay useful for AI model training while remaining traceable to their source. Even if only portions of a table are examined, the watermark remains robust and verifiable, making it a powerful tool for data attribution.

Looking Ahead: Watermarks as a Cornerstone of Data Security

Invisible watermarks are quickly becoming essential for AI-driven organizations. They complement disclosure protocols like IBM’s AI Attribution Toolkit, providing a technical safeguard when voluntary reporting is insufficient. As generative AI adoption accelerates, these watermarking techniques will be critical for maintaining trust, ensuring responsible use, and protecting both data creators and consumers from potential risks.

Conclusion

Watermarking synthetic tabular data marks a significant leap forward in data security for enterprise AI. By embedding invisible, verifiable signatures, organizations can monitor their data’s journey, enforce compliance, and deter misuse, paving the way for a more secure and trustworthy AI future.

Source: IBM Research Blog


Invisible Watermarks Secure Synthetic Tabular Data in the Age of Generative AI
Joshua Berkowitz June 7, 2025
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