Long Context, Less Focus: A Scaling Gap in LLMs Revealed through Privacy and Personalization

While Large language models (LLMs) incorporate user personalization signals to improve usability and helpfulness, they increasingly shift from providing balanced, informative responses toward optimizing for user satisfaction when conditioned on personal context such as conversation history, inferred preferences, and user profiles. Specifically, we identify three emerging risks: (1) irrelevant personalization, where models reference personal information in unnecessary contexts; (2) preference narrowing, where models reinforce informational echo chambers; and (3) sycophantic bias, where models agree excessively with user opinions. As a result, models may reference personal information in contexts where it is unnecessary, inadvertently collapse response diversity, or agree excessively with user opinions. Despite the growing use of personalization in AI assistants, there has been limited systematic evaluation of its potential side effects. To bridge this gap, we propose PRISK, a dynamic evaluation framework with automated data generation and tailored metrics that uncovers systematic limitations in current LLM personalization and how personalized information shapes its responses. Our empirical analysis across 13 LLMs demonstrates the presence of user profiles and retrieved memories consistently exacerbates biases, resulting in an average drop of 45.9% in irrelevant personalization, 41.7% in preference narrowing and 61.7% in sycophantic bias.

The rise of agentic AI enables LLMs to access diverse user data, raising critical privacy concerns. Prior work on contextual privacy studies whether LLMs regulate information disclosure according to context-dependent norms. However, acceptable disclosure boundaries may vary across users even within the same context. To address this limitation, we introduce personalized privacy, which incorporates user-specific disclosure preferences into privacy control. We further present P3Bench~(Personalized Privacy Preservation Benchmark), a novel benchmark extending contextual privacy policies with personalized disclosure policies. Experiments show that prompt-based policies fail to reliably enforce personalized privacy policies, with Qwen2.5-7B and Gemma3-4B showing average policy ignorance ratios of 51.25% and 74.28%, respectively. Finally, to address this problem, we propose Repair, a robust inference-time attention head intervention method that adjusts disclosure behavior toward policy-consistent responses. Our method significantly improves adherence to user-specific privacy preferences by reducing cases where the model fails to follow the given policy.

Large language models (LLMs) are becoming widely deployed as personal AI assistants with access to sensitive user data, making privacy a major challenge for their design and evaluation. Prior work focuses mainly on individual-level risks, overlooking interdependent privacy (IDP)--where one person's data may be revealed by others without their knowledge or consent. We address this gap by introducing IDP-Bench: the first LLM benchmark for IDP scenarios, grounded in the Contextual Integrity (CI) framework. We evaluate eight open-source LLMs on their understanding of IDP scenarios across three levels of IDP reasoning using two LLM judges. Results show strong co-ownership recognition (6/8 models exceed 90%) but persistent weaknesses in identifying CI parameters (information attribute, primary subject) and IDP-specific parameters such as secondary subjects, where 7/8 models score below 74%. Models also struggle to judge sharing appropriateness (5/8 scoring below 77%). While the ability to judge the appropriateness of sharing improves with scale, performance tends to decline in smaller models, and prompt sensitivity remains high on IDP-specific questions--highlighting the need for more targeted study of IDP in LLM privacy research. Data & code available here.