Echelon: Auditable Aggregate-Only Language-Model Adaptation Across Privacy Boundaries

Cross-organization language-model adaptation increasingly faces hard governance constraints: in many deployments, device-level model state-parameters, activations, optimizer state, and per-device updates-cannot be exported outside an administrative boundary. Existing distributed and federated stacks typically assume cross-site model exchange and then retrofit privacy mechanisms, which complicates compliance and makes auditing brittle. We present Echelon, a boundary-first training architecture that enforces device-level model-state non-export as a systems invariant. Devices train locally inside each boundary; the only cross-boundary payloads are securely aggregated boundary-level deltas plus O(1) coordination metadata, exposed through a concrete audit surface. Restricting exchange to aggregates changes the optimization problem: the system must remain stable under WAN delay, heterogeneous participation, churn, and non-IID data even though the global plane never sees per-device updates. Echelon combines buffered semi-asynchronous secure aggregation, staleness-aware weighting, participation windows, proximal local objectives, and a drift-aware outer synchronization controller. In 1B-parameter LoRA adaptation across M= 2 boundaries, a budget-matched contest over three seeds (24.88M tokens) reaches validation loss 3.887 +/-0.010 and is best or tied-best among tuned low-communication baselines under fixed-token, fixed-bytes, fixed-wall-clock, and fixed-sync-count budgets. In OpenWebText stress tests, Echelon sustains 2,139-2,176 tokens/s across evaluated WAN and non-IID treatments, Echelon-DA improves time-to-target under WAN latency relative to a privacy-parityDiLoCo+SA baseline, and quality degrades by at most 2.2% under 200ms emulated latency or severe non-IID partitioning.