State Representation Shapes Long-Horizon Agent Learning and Transfer: An Empirical Study

Long-horizon agentic workflows require models to sustain repeated state-dependent actions all while the context grows, sub-task complexity changes, and new data arrives. Each situation represents an independent axis along which an agent may fail. An agent reconciling a long ledger, for example, must repeatedly read its state, update the correct record, and preserve alignment across thousands of outputs. A model may accept the entire ledger yet lose its place or stop applying the operation consistently as generation proceeds. We introduce Long-Transduction, a controlled diagnostic that tests a model's ability to stay on task during long generation while continuously reading, mutating, and outputting input-context dependent operations such as arithmetic, sorting, variable lookups, and table transformations. Long-Transduction evaluation independently varies local task complexity, input data formatting, and context length isolate failures along each axis. We evaluate seven open-weight models, finding a 62.8% decrease when scaling context length from 4-128K, a 36.5% decrease when varying input format, and a 39.9% decrease by increasing local task complexity. Together, these failures represent critical liabilities in long-horizon agentic workflows.

As agents collaborate on longer tasks, responsibility may pass between models before the work is complete. The receiving model must build on prior decisions, observations, and actions while addressing the remaining requirements. Evaluating this transition requires connecting the information preserved at handoff to how the receiver continues the work, a relationship that task-success and memory-retention scores alone do not capture. We introduce the Handoff State Continuity Benchmark (HSC-Bench), comprising 1,039 tasks that evaluate two complementary aspects of task takeover: recovering relevant repository evidence and continuing from established conversational, tool, and file-work state. Comparisons across six receiving models show that structured handoff state improves repository evidence recovery for every model and continuation performance for most models. The strongest receivers differ between the two tracks, showing that evidence-recovery rankings alone do not characterize performance when continuing from inherited state. By combining these comparisons with checks of subsequent responses and actions, HSC-Bench evaluates both access to prior evidence and adherence to established commitments and completed work. This provides a basis for selecting receiving models and assessing handoff representations according to the work that must be carried forward.

For reinforcement learning (RL) in self-contained environments, a policy can get rewards by exploiting environment-specific regularities (tool schemas, grader parsing, task templates) rather than by acquiring transferable skill, and an in-distribution holdout shares those regularities. We argue that the discriminating question is behavioral, namely how a trained agent acts, and that cross-benchmark transfer is the right place to look for it. We post-train an open-weight mixture-of-experts model (Qwen3.5-122B-A10B) on 363 long-horizon Model Context Protocol (MCP) tasks across 27 categories, using a two-stage SFT-then-RL pipeline. Toolathlon performance informed the initial base-family and SFT-teacher choices, but no external-benchmark task or grader entered training and no external score informed the reward, training hyperparameters, trained-checkpoint selection, or stopping. At greedy pass@1, the trained model improves over the base on five reported external evaluations: Toolathlon (+9.6 pp), $τ^2$-Bench (+5.3 pp), BFCL-V4 (+3.5 pp), SWE-Bench Pro (+5.8 pp), and Terminal-Bench 2 (+2.8 pp). Both software-engineering benchmarks improve despite the training collection containing no software-engineering tasks. An exploratory paired-trajectory analysis identifies four recurring behavioral differences (more careful local-goal formation, building goal-relevant working state, keeping parent goals stable through local repairs, and verifying completion) that appear in analogous forms across office workflows and code. These results provide descriptive evidence that long-horizon multi-tool post-training can change ways of working that transfer beyond its training domain.