LogNEO: A GPT-Neo Reinforcement Learning Framework for Accurate Real-Time Log Anomaly Detection
Authors: David Eje, Tanmay Sharma, Khush Patel, Manuel Mazzara, Leonard Johard
Organizations: Department of Computer Science, Innopolis University, Innopolis, Russia
Abstract
Detecting anomalies in large-scale system logs is critical for the reliability and security of modern computing infrastructure. We present LogNEO, a log anomaly detector built on EleutherAI's GPT-Neo (1.3B parameters) and fine-tuned with a novel partial-credit, exponentially decaying position-aware reward scheme combined with cross-entropy regularisation via Proximal Policy Optimisation (PPO). The position-aware reward explicitly models prediction difficulty: early positions receive higher rewards for correct predictions, while later positions incur stronger penalties for errors. LogNEO attains F1-scores of 0.927, 0.913, and 0.984 on the HDFS, BGL, and Thunderbird benchmarks, improving recall by up to 6 percentage points over the prior state-of-the-art LogGPT while maintaining comparable precision. A production microservice deployment over Apache Kafka, Redis, and TensorRT-accelerated inference demonstrates 45 ms end-to-end latency at 15,000 events per second.
Modern distributed systems generate massive volumes of log data that are critical for detecting anomalies and cyber threats. However, in real world settings, these logs are often distributed across multiple organizations and cannot be centralized due to privacy and security constraints. Existing log anomaly detection methods, including recent large language model (LLM) based approaches, largely rely on centralized training and are not suitable for such environments. In this paper, we propose DP-FLogTinyLLM, a privacy preserving federated framework for log anomaly detection using parameter efficient LLMs. Our approach enables collaborative learning without sharing raw log data by integrating federated optimization with differential privacy. To ensure scalability in resource constrained environments, we employ low rank adaptation (LoRA) for efficient fine tuning of Tiny LLMs at each client. Empirical results on the Thunderbird and BGL datasets show that the proposed framework matches the performance of centralized LLM based methods, while incurring additional computational overhead due to privacy mechanisms. Compared to existing federated baselines, DP-FLogTinyLLM consistently achieves higher precision and F1-score, with particularly strong gains on the Thunderbird dataset, highlighting its effectiveness in detecting anomalies while minimizing false positives.
Production systems generate millions of log lines daily, yet most anomaly detectors operate at the session or window-level, flagging groups of lines rather than identifying the specific message responsible. This coarse granularity forces operators to inspect many routine lines per alert. Message-level detection offers finer granularity, but remains challenging. A single event template may correspond to both normal and anomalous messages, failures arise from heterogeneous subsystems, and line-level labeling at scale is impractical. Although large language models (LLMs) can reason over log semantics, applying them to every line is too costly for continuous monitoring. We present FAME (Failure-Aware Mixture-of-Experts), a label-efficient message-level mixture-of-experts framework that uses an LLM only once offline. We annotate at most K labeled lines per template to derive binary normal/anomaly indicators and representative examples. The LLM proposes a partition of templates into failure domains, and a certification step validates the proposal before training. FAME trains a lightweight router and domain experts that run on-premise and output anomaly predictions and failure-domain labels. On BGL, FAME achieves F1 = 98.16 at K = 100 reducing annotation effort by 76x and detects 86.3% of anomalies from unseen EventIDs. On Thunderbird, FAME reaches F1 = 99.95 with perfect recall.
Logs are ubiquitous in modern systems. Unfortunately, their unstructured nature in flat sequences limits understanding of execution behaviors, hindering effective anomaly diagnosis. To address this, Krone introduces a novel hierarchical log abstraction that transforms flat log sequences into semantically coherent units across entity, action, and status levels. Building on this abstraction, Krone introduces a hierarchical orchestration framework that decomposes flat log sequences into hierarchical execution units and performs modular detection over them. It executes and optimizes the modular detection tasks across levels, enabling precise anomaly detection, localization, and explanation with selective invocation of LLM-based reasoning. In this work, we present Krone-viz, an interactive visualization system based on Krone, which makes hierarchical log analysis interpretable and actionable for software engineers and system operators. Demonstrated on the widely used HDFS benchmark dataset, Krone-viz supports: 1) examining hierarchical decompositions of flat log sequences, 2) inspecting detection results and abnormal segments identified by Krone with LLM-generated explanations, and 3) reusing, reviewing, and revising knowledge generated by LLMs with human-in-the-loop guardrails. The code of Krone-viz is available at https://github.com/LeiMa0324/KRONE_Demo_official, and we deploy a live demo at https://leima0324.github.io/KRONE_Demo_official.