One of the main challenges of federated learning (FL) is handling non-independent and identically distributed (non-IID) client data, which may occur in practice due to unbalanced datasets and use of different data sources across clients. Knowledge sharing and model personalization are key strategies for addressing this issue. Clustered federated learning is a class of FL methods that groups clients that observe similarly distributed data into clusters, such that every client is typically associated with one data distribution and participates in training a model for that distribution along their cluster peers. In this paper, we present a unified Bayesian framework for clustered FL which associates clients to clusters. Then we propose several practical algorithms to handle the, otherwise growing, data associations in a way that trades off performance and computational complexity. This work provides insights on client-cluster associations and enables client knowledge sharing in new ways. The proposed framework circumvents the need for unique client-cluster associations, which is seen to increase the performance of the resulting models in a variety of experiments.
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