Language Model (LM)-based agents remain largely untested in mixed-motive settings where agents must leverage short-term cooperation for long-term competitive goals (e.g., multi-party politics). We introduce Cooperate to Compete (C2C), a multi-agent environment where players can engage in private negotiations while competing to be the first to achieve their secret objective. Players have asymmetric objectives and negotiations are non-binding, allowing alliances to form and break as players' short-term interests align and diverge. We run AI only games and conduct a user study pitting human players against AI opponents. We identify significant differences between human and AI negotiation behaviors, finding that humans favor lower-complexity deals and are significantly less reliable partners compared to LM-based agents. We also find that humans are more aggressive negotiators, accepting deals without a counteroffer only 56.3% of the time compared to 67.6% for LM-based agents. Through targeted prompting inspired by these findings, we modify agents' negotiation behavior and improve win rates from 22.2% to 32.7%. We run over 1,100 games with over 16,000 private conversations totaling 15.2 million tokens and over 150,000 player actions. Our results establish C2C as a testbed for studying and building LM-based agents that can navigate the sophisticated coordination required for real-world deployments. The game, code, and dataset may be found at https://negotiationgame.io/c2c.
As AI agents operate with increasing autonomy in a multi-agent world, they will need to learn to cooperate with other agents and with humans to generate mutual benefits. However, cooperation is a challenge because the costs of cooperation are often incurred early on, but the benefits are only realized later, creating an incentive to defect. How can AI agents cooperate with commitment? Here, we draw on inspiration from legal institutions and contracting that human societies have used to solve principal-agent problems of this kind. Contracts provide observable representations of agreements that enable credible commitments through the enforcement of terms. We study the role of contract-based cooperation using LLM-based agents in \CT, a spatial-temporal game that combines bargaining with navigation towards a goal. We study a suite of contract representations that range from formal contracts that compile to code to natural contracts that require reinterpretation. We evaluate agents with a range of LLM backbones using different sizes and providers. We find that self-negotiated contracts can improve cooperative outcomes beyond what is possible with regular trading.
We propose a personal-LLM exchange (LLM-X), a scalable negotiation-oriented environment that enables direct, structured communication across populations of personal agents (LLMs), each representing an individual user. Unlike existing tool-centric protocols that focus on agent-API interaction, LLM-X introduces a message bus and routing substrate for LLM-to-LLM coordination with guarantees around schema validity and policy enforcement. We contribute: (1) an architecture for LLM-X comprising federated gateways, topic-based routing, and policy enforcement; (2) a typed message protocol supporting capability negotiation and contract-net-style coordination; and (3) the first empirical evaluation of LLM-based multi-agent negotiation at scale. Experiments span 5, 9, and 12 agents, under distinct negotiation policies (Low, Medium, High), and across both short-run (minutes) and long-run (2h, 12h) load conditions. Results highlight clear policy-performance trade-offs: stricter policies improve robustness and fairness but increase latencies and message volume. Extended runs confirm that LLM-X remains stable under sustained load, with bounded latency drift.
As LLMs become more widely deployed, they are increasingly expected to work alongside other AI agents rather than operating in isolation. Effective coordination in these settings requires agents to communicate, share information and make decisions under uncertainty. We introduce SMAC-Talk, a natural language extension of the StarCraft Multi-Agent Challenge for evaluating LLM-based agents in cooperative multi-agent environments. The environment has several key features such as decentralized control, partial observability and long-horizon decision making. SMAC-Talk includes a natural language communication channel which is used to probe agent coordination and trust. We use this communication channel to construct different evaluation scenarios, including settings with an embedded deceptive communicator that tries to disrupt and deceive allies through communication alone. We provide three agents for benchmarking using 4 models from the Qwen3.5 family and study how reasoning structure, memory and model scale affect coordination between agents. We release SMAC-Talk as an open benchmark to support the research community in developing and evaluating LLM agents in cooperative multi-agent settings.