Industrial recommendation systems serve billions of users through a multi-stage funnel -- retrieval, early-stage ranking, and re-ranking -- where the final re-ranking step disproportionately shapes user engagement and downstream performance, particularly for carousel and grid display formats. Despite growing enthusiasm for Large Language Models (LLMs) in recommendation, three gaps hinder industrial adoption: (1) most efforts target retrieval and ranking, leaving re-ranking -- the stage closest to the final user experience -- largely underexplored; (2) LLMs are typically deployed zero-shot or via supervised fine-tuning, underutilizing the reasoning capabilities unlocked by reinforcement learning (RL) on verifiable rewards; (3) deployed catalogs index billions of items with non-semantic identifiers that lie outside any base-LLM vocabulary. We present GR2 (Generative Reasoning Re-Ranker), an end-to-end framework that combines (i) mid-training on semantic IDs produced by a tokenizer with >=99% uniqueness, (ii) reasoning-trace distilled from a stronger teacher via targeted prompting and rejection sampling, and (iii) RL with verifiable rewards purpose-built for re-ranking. To make GR2 resource-viable, we further (iv) introduce a context compressor that amortizes training cost, On-Policy Distillation (OPD) as a scalable alternative to SFT -- which we find collapses at industrial scale -- and reasoning distillation for low-latency serving. GR2 delivers +18.7% R@1, +7.1% R@3, and +9.6% N@3 over legacy baselines on industrial-scale traffic. We further find that reward design is critical in re-ranking: LLMs often hack rewards by preserving the incoming order or exploiting position bias, motivating conditional verifiable rewards as essential industrial components.
Recent studies increasingly explore Large Language Models (LLMs) as a new paradigm for recommendation systems due to their scalability and world knowledge. However, existing work has three key limitations: (1) most efforts focus on retrieval and ranking, while the reranking phase, critical for refining final recommendations, is largely overlooked; (2) LLMs are typically used in zero-shot or supervised fine-tuning settings, leaving their reasoning abilities, especially those enhanced through reinforcement learning (RL) and high-quality reasoning data, underexploited; (3) items are commonly represented by non-semantic IDs, creating major scalability challenges in industrial systems with billions of identifiers. To address these gaps, we propose the Generative Reasoning Reranker (GR2), an end-to-end framework with a three-stage training pipeline tailored for reranking. First, a pretrained LLM is mid-trained on semantic IDs encoded from non-semantic IDs via a tokenizer achieving ≥99% uniqueness. Next, a stronger larger-scale LLM generates high-quality reasoning traces through carefully designed prompting and rejection sampling, which are used for supervised fine-tuning to impart foundational reasoning skills. Finally, we apply Decoupled Clip and Dynamic sAmpling Policy Optimization (DAPO), enabling scalable RL supervision with verifiable rewards designed specifically for reranking. Experiments on two real-world datasets demonstrate GR2's effectiveness: it surpasses the state-of-the-art OneRec-Think by 2.4% in Recall@5 and 1.3% in NDCG@5. Ablations confirm that advanced reasoning traces yield substantial gains across metrics. We further find that RL reward design is crucial in reranking: LLMs tend to exploit reward hacking by preserving item order, motivating conditional verifiable rewards to mitigate this behavior and optimize reranking performance.
The remarkable success of large language models (LLMs) has provided important inspiration for the next generation of recommender systems. Structurally, recommendation and language generation share a similarity: both aim to produce an ordered sequence that optimizes the user's experience. However, how to precisely absorb the essence of the LLM paradigm into mature industrial recommender systems remains an open problem. There are two challenges. First, it is unclear how to incorporate the LLM paradigm -- sequence-level generation and optimization -- into recommendation. Second, real-world recommender systems are mature systems that have been iteratively customized for years around specific products, business constraints, serving infrastructure, and organizational ownership. Replacing such systems wholesale is often technically risky and organizationally disruptive. In this paper, we propose LIGE-GR, a listwise generation and evaluation recommendation framework that upgrades from a traditional ranking system (itemwise recommendation) toward a generative recommendation paradigm. Instead of rebuilding the entire recommendation stack from scratch, LIGE-GR generalizes the existing pointwise recommendation system into a listwise generation system. This allows mature recommender systems to benefit from listwise optimization while preserving compatibility with existing models, value functions, and serving infrastructure. We validate LIGE-GR in short-video recommendation on Instagram Reels and Facebook Video. On these recommendation surfaces, LIGE-GR improves time spent by 1.14 percent on Instagram Reels and 0.72 percent on Facebook Video, while requiring only modest additional inference resources.
Large Language Models (LLMs) are increasingly adopted as backbones for Generative Recommendation (GR), promising access to pretrained world knowledge. Yet reliably invoking this knowledge for GR remains poorly understood. A key obstacle is that LLM-based GR typically represents items with Semantic IDs (SIDs), disrupting LLMs' natural-language reasoning interface because these tokens are unseen by the LLM during pretraining. Existing approaches address this with expensive multi-stage pipelines that ground SIDs and elicit explicit rationales, but offer limited insight into when and why each stage is necessary. In this work, we systematically decompose explicit reasoning training pipelines for LLM-based GR, revealing three key limitations: weakened world-knowledge verbalization, misalignment between SID and natural-language token embedding spaces, and sensitivity to rationale quality, all of which hurt explicit reasoning performance. To circumvent these issues, we propose PauseRec, a lightweight implicit reasoning paradigm tailored for GR. PauseRec is exceptionally practical, avoiding costly reasoning trace acquisition and reasoning alignment training, leading to a multitude of benefits: (1) it outperforms standard explicit CoT methods by up to 6.22%, (2) it reduces training cost by up to 65% GPU hours, and (3) it speeds up inference by up to 71.3%. These results position PauseRec as a lightweight alternative to explicit rationale generation, enabling more effective and efficient LLM-based GR.