docs/SIGMA0-LLM-WHITEPAPER.md
By Alex Place (drafted by Claude lane, 2026-07-23)

The Σ₀ White Paper — a small AI you actually own

The plain-English version of our model design. Every claim here has a precise, sourced twin in the technical design doc. Where we're guessing, we say so and say how confident we are.


The idea in one sentence

A small AI that lives on your own computer, works a problem for as long as you let it, checks every answer against reality before claiming it, and only "phones a friend" in the cloud when it's truly stuck — so you own your intelligence instead of renting it.

The problem

Today's best AIs live in datacenters. You rent them by the message. That means: no internet, no AI. Your questions travel to someone else's computer. And the bill never ends. The obvious fix — run an AI on your own machine — has an obvious catch: models small enough to fit on a normal computer are noticeably dumber than the giants.

Our bet is that for a huge slice of real work, that catch can be beaten. Not by making a small model magically as smart as a giant one — that's impossible and we won't claim it — but by making a small model careful in a way giants aren't asked to be.

The trick: it's easier to check an answer than to create one

Some work is verifiable: code either passes its tests or it doesn't; a math answer either checks out or it doesn't. For that kind of work, you don't need a genius on the first try. You need a decent guesser plus a ruthless checker.

That's the whole design:

  1. Try — the small model proposes an answer.
  2. Check — we actually run it (real tests, real execution — not the model's opinion of

itself). Wrong answers die here.

  1. Try again, smarter — the model sees exactly what failed and refines. It keeps only

steps that provably moved forward. We call this loop the Spiral, and it can keep working one problem for as long as your budget allows — an "anytime" machine: the longer it runs, the better its answer, never worse.

  1. Phone a friend — rarely, and smartly — if the small model is genuinely stuck, we send its

best attempt plus the exact failing tests to a big cloud model, which acts as a repair shop, not a replacement. Then the fix is re-checked the same way. Every rescue is saved as a lesson the small model trains on later, so it escalates less over time.

  1. Or say "I can't" — if nothing verifies, it says so plainly. It never bluffs a success.

The math behind step 1–2 is old and solid: if one guess is right 30% of the time, ten independent checked guesses get you above 97% — provided the checker is real. Ours is.

Why it doesn't quietly go crazy

Small AIs that "think in loops" have a known failure: run the loop too long and they spiral into nonsense or freeze into repeating themselves — like a person ruminating instead of thinking. We spent months building the mathematics of this (our Collapse Certificate — partly proven, partly measured, honestly labeled which is which). The product enforces three guards from it:

  • A stability meter on every thought-loop. If the loop's internal dynamics start spinning

out (a measurable number crosses 1), that answer is rejected automatically.

  • An anti-freeze nudge. If the system starts locking up into a rut, a small controlled kick

keeps it moving. Proven to prevent permanent freeze in our test regime; switched on with a strict budget and receipts.

  • The reality rule. The system's own confidence is only ever treated as a smoke alarm —

never as proof. Only fresh external checks (tests, executions, held-out problems) can promote an answer or a new version of the model. We measured why: a model grading itself flatters itself; a memorized answer can pass every test it has seen and still fail the one it hasn't. So we always hold some tests back, like a teacher keeping the real exam sealed.

What it runs on

  • Your machine: a normal laptop or desktop — the working target is a model of **3 billion

parameters or less, in about 4GB of memory, viable on a CPU**. (For scale: frontier cloud models are hundreds of times larger.) The bigger 7B-class model is strictly the "phone a friend on your own network" tier — it's too heavy to be the product.

  • Tomorrow: a compression technique called ternary (weights that are just −1, 0, or +1)

that in published work fits a 7B-class brain into ~2GB and runs fast on plain CPUs. If our honesty signals survive that compression — a make-or-break test we've flagged — that's the path to "big-model feel on the computer you already own."

Who else is out there (and where we honestly fit)

Them What they are How we differ
Frontier clouds (GPT/Claude/Gemini class) The smartest, at $10–$200 per hard task, online only We don't compete on peak genius. We compete on verified answers per dollar, offline.
Small open models (Qwen, Phi, Gemma, ~1.5–4B) Excellent raw material — we build on one Alone they answer once and hope. We wrap one in the check-refine-escalate machine.
Looped research models (Ouro / HRM / TRM family) Our closest architectural cousins — small models that think in loops They're research artifacts; some score by memorizing. We add the stability guards + the external checker they lack.
Cost-router products (FrugalGPT-style cascades) Same "cheap first, escalate rarely" economics They're cloud-to-cloud cost tools. Ours is local-first, and quality is enforced by execution, not price alone.

On the famous ARC leaderboard (a test of learning new puzzles, plotted as score vs. cost): the giants sit high and far right — 50–80% at $10–$200 per task. Our target is the efficient corner: the band around 20–35% at well under $0.50 per task, where the best budget systems live today. With the budget dial open (the Spiral running longer, structured search, smart repair), we aim at the top of that band. We are not claiming the giants' corner — a 3B model can't out-think a datacenter, and anyone who tells you otherwise is selling something.

What we promise — with numbers and confidence

These are design-stage estimates, each tied to something measured. "Confidence" is our honest probability the claim survives real measurement.

Promise How much Confidence What it rests on
Cheaper than always calling a big model 5–10× on everyday verifiable tasks High (~70%) already measured 8.3× in one live setting
More right answers than one small-model call +30–80% verified solves via try-check-retry Medium (~60%) standard pass-many math + our real checker
When it says "solved," it's actually solved precision near 100% High (~70%) answers must pass held-out tests to count
Works fully offline for the common case Very high (~85%) that's the architecture, not a feature flag
Doesn't degrade in long sessions stability guards active Medium (~55%) proven in our test regime; not yet on the final core
Big-model feel in ~2GB (ternary path) Open bet (~45%) published elsewhere; our make-or-break test is queued

What it can't do (read this part)

  • Open-ended creative and deep-knowledge work, offline, at frontier quality: no. Without a

checker, a small model is just a small model. We escalate or we abstain.

  • Beat the giants at their own leaderboard corner: no. Different game, deliberately.
  • Everything above is partly aspirational until one number exists: the full

try-check-escalate score on a standard 164-problem coding exam at the ≤3B tier, with cost counted. It's the first thing we run. If it disappoints, you'll read that here, with the same candor as this sentence.

Where this stands today

Real and running: the Spiral loop with its real execution checker (it has already solved live task sets cheaply and honestly reported the one it couldn't), the honesty probes, the stability mathematics, and the cascade economics measurements. Being wired now — before any new training or model shopping: the stability guards onto the default serving path. Decided and written down: the full design, its six kill-tests, and this document.

The one-line summary of the whole project: we can't make a small model into a genius, but we can make it into something rarer — a worker that checks, that improves with budget, that knows when to ask for help, and that never claims what it can't prove.

— unisona.ai / Lantern OS, 2026-07-23. The precise version, with every citation and every proof status, is the technical design doc.