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arXiv:2506.02153cs.AI

Small Language Models are the Future of Agentic AI

Peter Belcak, Greg Heinrich, Shizhe Diao, Yonggan Fu, Xin Dong, Saurav Muralidharan, Yingyan Celine Lin, Pavlo Molchanov

Abstract

Large language models (LLMs) are often praised for exhibiting near-human performance on a wide range of tasks and valued for their ability to hold a general conversation. The rise of agentic AI systems is, however, ushering in a mass of applications in which language models perform a small number of specialized tasks repetitively and with little variation. Here we lay out the position that small language models (SLMs) are sufficiently powerful, inherently more suitable, and necessarily more economical for many invocations in agentic systems, and are therefore the future of agentic AI. Our argumentation is grounded in the current level of capabilities exhibited by SLMs, the common architectures of agentic systems, and the economy of LM deployment. We further argue that in situations where general-purpose conversational abilities are essential, heterogeneous agentic systems (i.e., agents invoking multiple different models) are the natural choice. We discuss the potential barriers for the adoption of SLMs in agentic systems and outline a general LLM-to-SLM agent conversion algorithm. Our position, formulated as a value statement, highlights the significance of the operational and economic impact even a partial shift from LLMs to SLMs is to have on the AI agent industry. We aim to stimulate the discussion on the effective use of AI resources and hope to advance the efforts to lower the costs of AI of the present day. Calling for both contributions to and critique of our position, we commit to publishing all such correspondence at https://research.nvidia.com/labs/lpr/slm-agents.

arXiv comments
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DOI
Subjects
cs.AIArtificial Intelligence

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Linked by 3 identifiable commenters in 3 comments across 3 threads, from Jul 2025 to Oct 2025. Found in 4 HN submissions from Jun 2025 to Oct 2025. Open submission discussions.

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Discussed in comments3 threads

  1. Qwen3-Next 1 comment
    • Do you really need a H200 for this? Seems like something a consumer GPU could do. Smaller models might be ideal [0] as they don't require extensive world knowledge and are much more cost efficient/faster. Why can't you build this today? [0]: https://arxiv.org/pdf/2506.02153…

      mtoneView on HNParent context

Submitted to Hacker News

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