Daedalus-150M: A Convolution-Attention Hybrid Designed for CPU Inference

Looped language models apply the same stack of layers T times to each token, which deepens the model without adding parameters but multiplies its key-value (KV) cache by T. The larger cache limits how many sequences a GPU can decode at once and slows each decoding step, which reads the whole cache. We propose Hybrid Latent Attention (HLA), which keeps exact keys and values within a sliding window of W recent tokens and stores each older token as a compact latent that the query of each loop reads directly, without reconstructing keys and values. We uptrain HLA on Ouro looped models (T=4) with 1.4B and 2.6B parameters, keeping the pretrained weights frozen and training only the added parameters to reproduce the original attention. The cache shrinks by 10.7x per token, fitting 4.0-8.8x as many concurrent sequences per GPU, and decoding throughput improves by 2.5x at 1K-token contexts and by up to 7.4x at 16K. HLA retains over 97% of the original accuracy on math, knowledge and reasoning benchmarks, and 96-100% on long-context retrieval up to 16K tokens. After supervised fine-tuning, it performs on par with the fine-tuned original model on competition-level math.

Diffusion language models (dLLMs) offer a promising alternative to autoregressive models by accelerating inference through parallel decoding. Recent dLLMs commonly use blockwise semi-autoregressive decoding, generating blocks autoregressively while denoising tokens within each active block in parallel. However, despite KV caching, each denoising step still attends to all previous blocks, repeatedly incurring prefix-attention cost. Motivated by this bottleneck, we ask whether dLLM inference can be further accelerated by linearizing attention over previous blocks. We introduce block-hybrid attention, which retains exact softmax attention within the active denoising block while applying linear attention over previous blocks. We show that this hybrid attention can be retrofitted into a pretrained dLLM with minimal post-training: LLaDA-Hybrid replaces 6 of the 20 attention layers in LLaDA~2.1, a 16B open-source dLLM, largely following LoLCAT (Zhang et al, 2024). The conversion takes only approximately 60 hours while preserving benchmark performance: 72.0% vs. 75.6% on HumanEval, 63.0% vs. 57.7% on MBPP+, and 86.7% vs. 88.3% on CMATH. With a Triton implementation, LLaDA-Hybrid achieves up to $1.7\times$ higher decoding throughput and supports more concurrent requests before exhausting memory, showing that pretrained dLLMs can be efficiently linearized for faster inference. Our code is available at: https://github.com/Diuven/LLaDA-Hybrid.

Looped Transformers (LT) have emerged as a powerful architecture by iterating their layers multiple times before decoding the final token. However, pairing them with full attention retains quadratic complexity, making them computationally expensive and slow. We introduce LT2 (Linear-Time Looped Transformers), a family of looped architectures that replace quadratic softmax attention with subquadratic, linear-time attention. We study two variants: LT2-linear with linear attention and LT2-sparse with sparse attention. We find that looping uniquely synergizes with these variants: it enables iterative memory refinement in linear attention and progressively expands the effective receptive field in sparse attention. We formalize these benefits theoretically and demonstrate consistent empirical gains across controlled recall, state-tracking, and language modeling tasks. We then explore LT2-hybrid, which combines different attention variants in a looped setting. Two variants are especially promising: LT2-hybrid (GDN+DSA), which interleaves linear and sparse attention to maximize efficiency and matches the standard looped transformer's quality at fully linear-time cost; and LT2-hybrid (Full+GDN), which interleaves GDN with a small fraction of full attention layers to maximize quality, surpassing the standard looped transformer in both performance and efficiency. We also show how to convert a pre-trained LT into an LT2-hybrid model. With about 1B tokens of training, our converted model, Ouro-hybrid-1.4B, outperforms industry-level 1B models and is competitive with industry-level 4B models while retaining the speed benefits of linear-time attention. Together, these results show a clear path toward making looped transformers more scalable and advancing efficient, capable small language models.