LLMs Can't Play Hangman: On the Necessity of a Private Working Memory for Language Agents

LLMs are increasingly deployed as orchestrators that coordinate specialized subagents to solve complex tasks through natural language. However, in many important domains like game playing and robotics, the strongest available agents are not language models. Integrating non-language agents with LLMs would require \emph{verbalization}: compressing their rich continuous representations into sparse textual summaries at each interaction step. To study whether verbalization constitutes a bottleneck, we introduce \textsc{LLAMIA-Bench}, a suite of six diverse collaborative chess tasks spanning three facets: behavioral imitation, state assessment, and natural-language explanation. Each task instantiates a well-established chess problem that neither the LLM nor the chess engine can solve alone. To solve LLM collaboration with non-language agents, we introduce \emph{latent state internalization}, which projects the subagent's continuous representations directly into the LLM's token stream as learned state tokens, with dynamic re-encoding as actions advance the environment state. Comparing internalization to verbalized integration, our experiments reveal a consistent \emph{verbalization debt}: the performance gap widens throughout training and persists as the LLM scales from 4B to 14B parameters. A single 14B model, \textsc{LLAMIA}, trained with latent state internalization, matches or exceeds task specialists and frontier models including GPT-5.1 with tool access across all benchmark tasks, and generalizes out-of-distribution where task-specific finetunes collapse

How do two agents invent a shared language from scratch? In a Lewis signaling game, a sender and receiver must coordinate on a code using only their interaction history. We study five memory architectures across varying channel configurations with LLM agents and find that memory architecture matters more than channel capacity. Agents with a persistent private notebook benefit from surplus channel capacity and avoid the high-capacity collapse seen in stateless agents, achieving the most reliable coordination ($0.867 \pm 0.023$ at capacity = 25). Stateless agents peak at moderate capacity and then degrade as the vocabulary grows beyond what a rolling context window can track The notebook externalizes learned conventions, freeing agents from having to re-derive codes each round. An information bottleneck-inspired argument predicts an optimal capacity equal to the number of objects. Instead, the bottleneck (capacity = 8) proves to be a fragility point, and surplus capacity is generally better. We show that channel capacity alone cannot predict coordination; memory architecture determines whether agents turn interaction history into stable conventions, and both dimensions are needed to understand how signals become language.

Memory for a long-horizon LLM agent is a contract about what each future decision is allowed to see. The simplest contract appends past observations, tool calls, and reflections to every prompt, which makes prior context easy to access but also turns it into a jumbled mixture in which the effect of any single memory component is hard to isolate. We introduce and instrument an alternative bounded contract: every decision is made from a fresh user message assembled by typed retrieval, with no raw cross-decision transcript appended. The prompt thus stays bounded across runs of any length, and any single layer can be ablated in isolation. We instantiate the contract in Slay the Spire 2, a closed-rule stochastic deck-building game whose runs require hundreds of tactical and strategic decisions. A public online benchmark of frontier LLMs on the same game reports zero wins at the lowest difficulty across five configurations, and the developer-reported human win rate at the same difficulty is 16%; the task is hard but not saturated. Within our harness, a fixed-A0 ablation shows the largest observed difference when triggered strategic skills are enabled: the no-store baseline wins 3/10 games and adding the skill layer 6/10. At this sample size the comparison is directional rather than statistically decisive (Fisher exact p\approx0.37); a cross-backbone probe and public accumulating-context baselines are reported as operational comparisons rather than controlled tests of the contract variable itself. We release a reproducible testbed: 298 completed trajectories with condition tags, frozen memory/skill snapshots, prompt records, and analysis scripts -- an agent design and a validated, reusable methodology for studying how explicit memory layers shape long-horizon LLM-agent decisions.