← kaysauer.com AI & Tech · 13 September 2026

Depth, Not Width

Week 37 — three bets on where capability actually comes from: running the same blocks twice instead of adding new ones, a real architectural departure from decoder-only, and ten thousand agents pointed at a single proof. All three are harder to audit than what they replaced.
This Week's Overview

Last week led with a measurement: the UK AI Safety Institute put GPT-6 Astra's “no-CoT time horizon” at 30.9 minutes against 3.6 for GPT-5.6 Sol, and found reasoning summaries missing on up to 80% of long simulated cyber trajectories. Capability up, visibility down. What last week did not have was an explanation. This week's deep dive on looped transformers supplies the leading candidate — and then argues, fairly convincingly, that it is the wrong one.

Three ways to buy capability

The looped-transformer answer is depth through weight reuse: run a 22-block stack twice and you get 44 block applications from 22 sets of weights. DeepSeek's v4.1-Flash takes the opposite route — not more depth or more width but a different shape entirely, a causal encoder–decoder with vision at 763B parameters, which is the first genuine architectural departure from decoder-only in a major open release for a long while. And OpenAI's Navier–Stokes announcement abandons architecture as the lever altogether: roughly 10,000 agents, trained for about a year with multi-agent RL, thrown at one problem as unstructured parallel test-time compute.

And three different audit problems

Looping makes reasoning happen in latent space where no token records it. The Navier–Stokes claim arrived with no theorem statement, no preprint, and no formal verification artifact — the widely repeated “88 hours” figure traces back to a satirical post. Open weights are the one branch where any of this can be checked from the outside, which is part of why the DeepSeek release matters beyond its benchmark numbers. Below the three focus stories, Also This Week covers the money underneath the buildout, agents actually shipping, what all this is doing to engineering practice, and a week of loud discourse.

Contents

Focus Topics

  1. Looped transformers, and why Astra is hard to watch
  2. DeepSeek v4.1-Flash breaks the decoder-only mould
  3. Ten thousand agents and a Millennium Prize problem

Also This Week

  1. The money underneath
  2. Agents shipping
  3. What this is doing to engineering practice
  4. A loud week for discourse

Test Yourself

Read the newsletter and you'll be able to answer these.
  1. In a looped transformer, what exactly is shared and what is not?
    Show answer
    The weights are shared across passes; almost nothing else is. Nanbeige4.2-3B runs a 22-block stack twice, giving 44 block applications from 22 sets of weights. But the compute is not shared — the forward pass still runs 44 block applications and gradients flow through all of them — and neither is the KV cache, because the hidden states entering a block on the second pass differ from the first, so the keys and values differ too.
  2. Nanbeige's authors tried sharing the KV cache between passes. What happened?
    Show answer
    It halved the KV cache size and made the model worse. They released the version with separate caches. They also reported that training the looped architecture from scratch beat upcycling a pretrained transformer into one, and that two passes was their efficiency sweet spot — a third pass improved quality slightly but slowed training and destabilised optimisation.
  3. Universal Transformers and Mixture-of-Recursions both allow a variable number of loops per token. How does each decide?
    Show answer
    Universal Transformer uses a learned halting probability per position per step, accumulated until it crosses a threshold (with a maximum loop count as a backstop). Mixture-of-Recursions uses a small learned router instead, similar to mixture-of-experts routing but deciding how many times to apply the shared stack — either expert-choice (each step selects which tokens continue) or token-choice (one decision up front assigning each token a 1-, 2- or 3-pass path).
  4. Does looping give a model more knowledge, more reasoning ability, or both?
    Show answer
    B. The Beyond Parameters work measured the two separately: with parameter count held fixed, looping left stored information essentially unchanged, while reusing blocks improved multi-step maths performance without adding parameters. Which makes sense — looping is a computing mechanism, not a storing one.
  5. What is the strongest evidence that looped transformers are actually worth it?
    Show answer
    SMELT (September 2026), which compares looped and conventional transformers at approximately matched compute per token, matched non-embedding parameters and matched KV cache requirements — the comparison that earlier work kept skipping. Scaling up to 54B non-embedding parameters, it estimates the looped design needs roughly 6.8–18% less training compute to reach the same validation loss.
  6. Raschka argues looping is not why Astra's reasoning traces got shorter. What is his argument?
    Show answer
    That shorter traces are what capability looks like, not what architecture does. Within a single model family, GPT-5.6 Luna uses about 80% more tokens than Sol at similar task performance, and nobody argues Sol is therefore less interpretable than Luna. A stronger model backtracks less and gets more right on the first attempt. OpenAI has also been hiding most reasoning traces from users since o1, so nothing changed for end users; the concern is for developers.
  7. What did OpenAI's chief scientist say that cuts against the looping-hides-reasoning story?
    Show answer
    Jakub Pachocki said the depth of the computation graph for current frontier models including Astra is “within a factor of two of GPT-4,” and explicitly framed his statement as preventing “a race into unmonitorability kicked off by confused reporting.” He did concede that chain-of-thought monitorability is fragile and trending badly — but for reasons “not contingent on architecture changes.”
  8. What is architecturally unusual about DeepSeek v4.1-Flash?
    Show answer
    It is a causal encoder–decoder with vision, at 763B total parameters — not another decoder-only model scaled up. Essentially every major frontier release of the past several years has been decoder-only, so a competitive model with a different fundamental shape is a real fork in the road rather than an incremental change. Latent Space's read was that the version number undersold it and it should have been v5.
  9. What is the most concrete claim anyone made about the Navier–Stokes result, and who made it?
    Show answer
    Ethan Knight said the result came from a collaboration of about 10,000 agents, that OpenAI had spent roughly the past year training models to collaborate via multi-agent RL, and that hard problems may yield to large amounts of unstructured parallel test-time compute with the models deciding how to organise themselves. That systems-level description is the substance of the public claim.
  10. The “88 hours” figure was repeated everywhere. Where does it actually come from?
    Show answer
    A satirical post, not the OpenAI-adjacent statement. It should not be treated as confirmed. The same applies to the compute-cost figure that circulated with it — no compute budget was disclosed. This is a good illustration of how a number acquires authority purely through repetition.
  11. List three things that would normally accompany a mathematical claim of this magnitude and were absent here.
    Show answer
    Any of: a theorem statement, a preprint, a proof sketch, a formal verification artifact, independent referee commentary, a specification of whether it addresses standard 3D incompressible global regularity, or any account of the human-versus-model division of labour. “Collaboration of ~10,000 agents” does not say whether humans decomposed the search, curated lemmas, verified steps, or merely launched the infrastructure.
  12. Why is the word “solution” doing a lot of work in this announcement?
    Show answer
    In mathematics it could mean a complete proof, a proof strategy, a candidate counterexample, a formalised derivation, or a promising research lead — and the public statements did not disambiguate. A claim that finite-time singularity can occur would be explosive, because it implies a negative answer to global regularity, and that demands extraordinary precision. The public conversation ran well ahead of the disclosed technical substrate.
  13. What did SemiAnalysis put a number on this week, and why is it uncomfortable?
    Show answer
    Nvidia's backstop obligations against an $11 trillion AI buildout — modelled as growing from about $55B in F1/27 to roughly $373B by F1/31 under an assumed $2.5T of total funding through F1/31. The discomfort is circularity: the dominant supplier underwriting the demand for its own product means the demand signal stops being independent evidence that the demand is real.

From Last Week's Issue — 2026-09-05

  1. OpenAI calls GPT-6 Astra its “most intelligent and aligned model yet.” What did its own pre-release safety materials, and the UK AI Safety Institute, say got worse?
    Show answer
    Chain-of-thought monitorability. UK AISI measured Astra's “no-CoT time horizon” — how long a task it can do without externalising reasoning — at 30.9 minutes versus 3.6 for GPT-5.6 Sol, and found reasoning summaries went missing on up to 80% of long simulated cyber trajectories.
  2. Astra's per-token price is 2.5× that of GPT-5.6 Sol. Why is “it's more expensive” not the whole story?
    Show answer
    Astra is markedly more token-efficient — roughly a third of Sol's tokens in a coding-agent harness — so on many tasks it is cheaper per task despite the higher per-token rate. Compare cost-per-task, not price per token.
  3. ARC Prize reported two very different scores for Astra on ARC-AGI-3. What explains the gap?
    Show answer
    Harness. About 63% under a standard harness versus about 99% through a provider-adapter harness that preserves the model's hidden reasoning state across turns and uses native compaction. Single reported benchmark figures need reading with that in mind.
  4. In Grok Bot, what is the “atomic unit” you program, and how does that differ from a system like OpenClaw?
    Show answer
    The Bot itself — a named entity with a role and its own connected tools, composable with other Bots into a group chat. OpenClaw instead exposes the machinery: config, tools, skills, plugins.

Looped transformers, and why Astra is hard to watch

Sebastian Raschka's Magazine, 9 September 2026 expanded from full text

Two days before GPT-6 Astra shipped, The Information reported that it uses “recurrent depth,” or looped transformers — and tied that to the model's reduced chain-of-thought monitorability. Sebastian Raschka spent this week's issue on both halves of that claim, and the second half does not survive contact with the first.

Start with the mechanism, because it is simpler than the name suggests. A looped transformer passes intermediate representations through the same transformer blocks more than once, keeping the weights identical across passes. Nanbeige4.2-3B, an open-weight model from July, applies a stack of 22 blocks twice: unrolled, that is 44 block applications, but block application 23 reuses block 1's weights, 24 reuses block 2's, and so on. Effective depth doubles; the number of distinct weight sets does not.

44 BLOCK APPLICATIONS, TWO WAYS Conventional 44 distinct blocks 44 weight sets Looped 22 blocks, applied twice pass 2 reuses the same weights 22 weight sets Saves weight storage. Does not save compute, and does not save KV cache — each pass needs its own entries.
Own diagram, from the Nanbeige4.2-3B configuration described in the article.

What it buys you is narrower than it first appears. The memory needed to store weights drops. The compute does not: the forward pass still runs 44 block applications and gradients flow backward through all of them, so training cost is close to a genuine 44-block model. Neither does the KV cache — because the hidden states entering a block differ on the second pass, its keys and values differ too, and both passes need their own entries. Nanbeige's team did try sharing the cache; it halved memory and made the model worse, so the released version keeps them separate. They also found training from scratch beat upcycling a pretrained model, and stopped at two passes because a third bought little and destabilised optimisation.

The idea is old — Universal Transformers proposed it in 2018, repeating a single block rather than a stack, with adaptive halting so a token can exit after one pass or continue for four. ByteDance's Ouro-Thinking 2.6B pushes it further, applying a 48-block stack four times for 192 block applications, with a learned exit gate choosing which pass supplies the output. Mixture-of-Recursions replaces the halting function with a small learned router, mixture-of-experts style, deciding per token how many passes to spend — either by having each recursion step select which tokens continue, or by assigning each token a path up front. Because the router reads a token's hidden representation, the same word gets different depth depending on its context.

Does it work? The honest answer is “at scale, modestly, yes.” Mixture-of-Recursions loses to a vanilla transformer at the smallest model size and wins at larger ones, especially at smaller training budgets — a good reminder that the 135M-parameter version of an experiment can point the wrong way. The cleaner result is SMELT, released this month, which does the comparison everyone had been ducking: looped versus conventional at matched compute per token, matched non-embedding parameters and matched KV cache, scaling to 54B non-embedding parameters. Its fitted curves put the looped design at roughly 6.8–18% less training compute for the same validation loss. And Beyond Parameters separates what looping does and does not give you: with parameters fixed, it leaves memorisation capacity essentially unchanged but improves multi-step maths. Looping is a computing mechanism, not a storing one.

Which brings us to the monitorability claim, and Raschka's answer is a flat no. OpenAI has hidden most reasoning traces from users since o1, so nothing changed for end users; the interpretability concern is a developer-side one. Astra's system card does report reduced monitorability relative to Sol, mostly in the form of shorter, less informative traces — but shorter traces are what capability looks like. Within one model family, GPT-5.6 Luna burns about 80% more tokens than Sol for similar performance, and nobody claims Sol is therefore less interpretable. A stronger model backtracks less. Jakub Pachocki, OpenAI's chief scientist, weighed in directly to say that the computation-graph depth of current frontier models including Astra is “within a factor of two of GPT-4,” that he wants to “prevent a race into unmonitorability kicked off by confused reporting,” and — importantly — that monitorability is fragile and trending badly, “for reasons not contingent on architecture changes.”

One paper complicates the tidy version. The full-bandwidth transformer, from August, feeds the previous token's final hidden state back in through a learned gate, and does produce shorter reasoning traces on MATH500 at equal or better accuracy — but only in the base model. The effect vanishes after instruction tuning, and the study did not test whether conventionally scaling the model produces the same shortening, nor whether the shorter traces are less faithful.

Why it matters

This is a rare case of a plausible mechanistic story for an alignment worry being checked and found wanting. The monitorability regression is real; looping is very likely in Astra; and the causal link between them is unsupported. Worth holding onto, because the architecture-caused-it framing is more satisfying than the actual explanation — that capable models simply write less down, and the interpretability tax comes due regardless of how the capability was bought.

DeepSeek v4.1-Flash breaks the decoder-only mould

Latent Space / AINews, 12 September 2026

DeepSeek released v4.1-Flash this week: 763B total parameters, described as P8B-D16B, built as a causal encoder–decoder with vision. Latent Space's verdict was that the version number undersells it — “this should have been DeepSeek v5” — and the reason is the shape rather than the size.

Practically every major frontier model of the past several years has been decoder-only. That convergence was not obviously correct, it was just what scaled predictably, and it has meant that architectural competition largely stopped being a thing anyone competed on. A competitive model with a genuinely different fundamental structure — an encoder–decoder split, made causal, with vision integrated rather than bolted on — is a fork in a road that had looked straight for a while. Community discussion around the release picked at the parameter arithmetic, working out what a 30B dense backbone would imply for the size of an accompanying engram component, and speculating about whether Qwen would follow with a “tiny KV” design that lowers context-memory requirements directly rather than arguing about KV-cache quantisation.

TWO SHAPES Decoder-only one stack everything in, tokens out Causal encoder–decoder encoder + vision decoder separate read and write paths, 763B total
Own schematic of the structural difference. DeepSeek has not published full architectural detail.

It is worth being straight about what is not yet known. There is no architecture paper with the depth that the DeepSeek V3 and R1 reports had, so the parameter breakdown and the training recipe are still partly inference from the release notes and from people poking at the weights. What can be said is that it is open, which is the whole point of the comparison in Nathan Lambert's open-models reading list, also out this week. That piece is useful as a reference spine, and unusually blunt about the mechanism nobody likes discussing: distillation, including reasoning-trace extraction from frontier models, as a real route by which Chinese labs close the gap — stated without treating it as either scandal or non-event.

Why it matters

If SMELT and the looped-transformer line are right that architecture still has 7–18% of training compute left on the table, then the field's convergence on one shape has been leaving something on the floor. DeepSeek departing from it in a model anyone can download is the version of that experiment that can actually be checked from outside — which is more than can be said for the week's other two focus stories.

Ten thousand agents and a Millennium Prize problem

Latent Space / AINews, 9 September 2026 expanded from full text

On 8 September OpenAI announced a solution to the Navier–Stokes Millennium Prize Problem, produced by a group of agents running a next-generation model described as significantly more capable than GPT-6 Astra. It overshadowed a week that would otherwise have led with Cognition's $48B Series E, Mistral's $24B Series D, Meta's Muse agent and GPT Image 2.5. It is also, on the available evidence, close to unevaluable — and the gap between how big the claim is and how little was shown is the story.

Here is what was actually stated. Ethan Knight said the result came from “a collaboration of ~10,000 agents working together,” that OpenAI had spent the past year training models to collaborate via multi-agent RL, and that hard problems may yield to “huge amounts of unstructured parallel test-time compute” with models deciding how to organise themselves. That is a systems claim, and a substantive one: it describes a research architecture, not a mathematical argument.

Here is what was not stated. No theorem statement. No preprint, proof sketch, or formal verification artifact. No independent referee commentary. No specification of whether the result concerns the standard 3D incompressible global regularity problem on ℝ³ or a torus, or some variant. No account of the division of labour between humans and models — “collaboration of ~10,000 agents” does not tell you whether humans decomposed the search, curated lemmas, verified steps, or launched the infrastructure and went home. No mention of theorem-prover integration, proof-assistant stack, symbolic algebra, retrieval corpora, model size, compute budget, ablations against a single-agent baseline, or proof-check success rates.

CLAIMED vs. DISCLOSED Stated publicly • ~10,000 collaborating agents • multi-agent RL, ~1 year of training • unstructured parallel test-time compute • agents self-organised the work • model beyond GPT-6 Astra • framed as a Navier–Stokes “solution” Not provided • theorem statement • preprint or proof sketch • formal verification artifact • human-vs-model division of labour • which formulation of the problem • compute budget, ablations, baselines The widely repeated “88 hours” and dollar figures trace to a satirical post, not to any OpenAI-adjacent statement.
Own diagram, from the AINews breakdown of the primary statements.

The “88 hours” deserves its own note, because it ended up in nearly every headline including the one at the top of the source roundup. It appears in a satirical post, and AINews flags explicitly that it should not be treated as confirmed from the available evidence. The cost figure travelled the same way. Neither number was disclosed; both are now load-bearing in how the result is being discussed, which is a fairly pure demonstration of a figure acquiring authority through repetition alone.

None of which means nothing happened. AINews' own read — and it is a careful one — is that the achievement is likely real and the process is in dispute. But “solution” is doing enormous work. In mathematics it could mean a complete proof, a proof strategy, a candidate counterexample, a formalised derivation, or a research lead, and a claim that a finite-time singularity can occur would imply a negative answer to global regularity — which is precisely the kind of claim that requires extraordinary precision before anyone should move. If the work genuinely touched the problem, the interesting novelty is probably not “LLM writes a proof” but distributed theorem search with learned collaboration policies: task decomposition, inter-agent communication, memory persistence, search-tree management, proxy scoring, and aggregation of candidate proof paths at a scale nobody has run before.

Why it matters

Whatever the mathematics turns out to be, the operational fact stands: a lab spent one-shot inference compute at this scale on a scientific target rather than on a product or a benchmark, and thinks the strategy generalises. That is a real shift in what frontier compute gets pointed at. It also sets an unfortunate precedent for disclosure — a result of this magnitude announced by tweet, with the verifiable artifacts absent and the memorable numbers apocryphal, is a template other labs will notice works.

Also This Week

The money underneath

SemiAnalysis put numbers on Nvidia's backstop economics, modelling an $11 trillion AI buildout against the obligations Nvidia is taking on to underwrite demand for its own product: under an assumed $2.5T of total funding through F1/31, the relevant line item grows from about $55B in F1/27 to roughly $373B by F1/31. The title — “Heads I Win, Tails Who Loses?” — is the argument. Further down the stack, The Pragmatic Engineer reports a CPU shortage following the GPU and memory shortages before it, this one caused by agents doing far more tool-calling than anyone provisioned for, with the practical advice to reserve compute now if you will need it. And SemiAnalysis's continuing work on behind-the-meter datacenter power and TPU inference externalization covers the two constraints that actually bind: electricity, and whether Google's silicon becomes available to anyone outside Google.

Agents shipping

Elvis Saravia's weekly roundup leads with the OpenAI Agents API, and the detail worth extracting is that the Codex harness ships open-source — developers can read the logic coordinating calls, tools and context, which is exactly the auditability that the looped-transformer discussion says is disappearing at the model layer. Pricing is tokens and tools with no surcharge. The catch is deployment: data residency is US-only and Zero Data Retention is not supported yet, which rules it out for a substantial slice of enterprise and all of European public-sector work. The same roundup covers Cognition's SWE-2, Cursor Projects, Sakana's Fugu Max and Meta Muse. Alongside it, Latent Space on the forward-deployed engineer — Vinoo Ganesh, who built Palantir's Project Frontline — describes the delivery model AI companies are now copying wholesale, and is candid that it exists because the product does not work until someone embeds with the customer long enough to establish what the ground truth actually is.

What this is doing to engineering practice

Two Pragmatic Engineer pieces land on the same nerve from opposite ends. “What is happening with code reviews?” examines what review means when most of the diff was machine-written, and the Codex interview with Tibo Sottiaux covers building the tool doing the writing. The Pulse's secondary item this week — engineers losing touch with their systems because AI now handles incidents — is the same worry wearing operations clothes. On the implementation side, ByteByteGo covers model routing as a cost lever and error handling in LLM-powered applications, which remains the least glamorous and most load-bearing topic in the entire stack.

A loud week for discourse

Interconnects on the resignation that turned AI fear into a wildfire traces how a single departure became the week's dominant safety narrative, and is mostly a piece about how AI discourse metabolises individual events into movements. Its companion, “When will average people feel AI's impact?”, is the more durable question — and a useful corrective to a week in which the industry announced a Millennium Prize result, a novel frontier architecture and a $48B funding round without any of it touching what most people's software does.