Backprop gives you the gradients — now you have to store and multiply billions of them, fast, on a fixed slab of GPU memory. The trick: do the math in tiny low-precision numbers for speed, and keep a full-precision safety copy so the smallest gradients don't quietly vanish.
Every number a GPU stores is a fixed row of bits split into three fields. How you split them decides what the number can do — and mixed precision is all about picking the cheapest split that still works.
Low precision has a floor: any value smaller than its smallest representable number rounds to exactly zero. Real gradients are often that small — so two tricks keep them alive.
Precision is only half the battle — you still have to fit weights, gradients, optimizer state and activations inside fixed VRAM. Here's the memory budget you actually tune.
Even at BF16, one GPU can't hold a real model — the optimizer states alone overflow 80 GB. Next, distributed training: splitting the weights, gradients and optimizer state across many GPUs so the model that doesn't fit anywhere fits everywhere.