mlsanityData to 7 Oct 2026

CoACT: Action-Preserving Observation Compression for Coding Agents

arXiv 2607.02911 ↗First posted 3 Jul 2026cs.SE cs.AIcited by 4

On the map: LLM agents and tool use → Software engineering coding agents

Abstract (arXiv)

LLM-based coding agents solve software-engineering tasks through iterative interactions with development environments, where returned observations accumulate in the context and become a major source of inference cost. Observation compression reduces this cost by shortening observations before they are appended to the context. However, existing methods still exhibit an unsatisfactory efficiency-effectiveness trade-off, as they do not explicitly model how compression affects the agent's subsequent behavior. This paper proposes CoACT, an action-preserving observation compression method for coding agents. CoACT is built on next-action preservation (NAP), which requires a compressed observation to induce the same next action as the raw observation. By checking the agent's immediate next action, NAP provides a practical signal for whether a compression preserves the information needed for continued task solving. During training, a teacher model first generates multiple compressed candidates of each observation. CoACT then uses an action-preservation reward based on NAP to filter out candidates that would change the agent's next action, and uses a length-reduction reward to choose compact candidates as supervision for a lightweight compressor. Experiments on SWE-bench Verified with three agentic models show that CoACT reduces average total token consumption by 33.0% while maintaining task-solving effectiveness close to the uncompressed agent.

Key facts. Cited by 4 papers in the map (data through 7 Oct 2026). Placed in Software engineering coding agents, one of 16 directions in LLM agents and tool use. Builds on 35 of its 43 references that are in the map. First posted on arXiv 3 Jul 2026.

Builds on

35 of 43 references.

Closest ancestors · 10

Same direction, newest first

  1. 2026SWE-Pruner: Self-Adaptive Context Pruning for Coding Agents23 Jan
  2. 2025Context as a Tool: Context Management for Long-Horizon SWE-Agents26 Dec
  3. 2025More with Less: An Empirical Study of Turn-Control Strategies for Efficient Coding Agents19 Oct
  4. 2025Reducing Cost of LLM Agents with Trajectory Reduction28 Sep
  5. 2025SWE-Effi: Re-Evaluating Software AI Agent System Effectiveness Under Resource Constraints11 Sep
  6. 2025Trae Agent: An LLM-based Agent for Software Engineering with Test-time Scaling31 Jul
  7. 2025SWE-smith: Scaling Data for Software Engineering Agents30 Apr
  8. 2024OpenHands: An Open Platform for AI Software Developers as Generalist Agents23 Jul
  9. 2024Agentless: Demystifying LLM-based Software Engineering Agents1 Jul
  10. 2024SWE-agent: Agent-Computer Interfaces Enable Automated Software Engineering6 May

Other references · 25

  1. 2021LoRA: Low-Rank Adaptation of Large Language Modelscited by 14,084
  2. 2022ReAct: Synergizing Reasoning and Acting in Language Modelscited by 8,355
  3. 2023SWE-bench: Can Language Models Resolve Real-World GitHub Issues?cited by 3,193
  4. 2026DeepSeek-V4: Towards Highly Efficient Million-Token Context Intelligencecited by 877
  5. 2026Terminal-Bench: Benchmarking Agents on Hard, Realistic Tasks in Command Line Interfacescited by 515
  6. 2023LongLLMLingua: Accelerating and Enhancing LLMs in Long Context Scenarios via Prompt Compressioncited by 443
  7. 2024LLMLingua-2: Data Distillation for Efficient and Faithful Task-Agnostic Prompt Compressioncited by 343
  8. 2025Scaling Long-Horizon LLM Agent via Context-Foldingcited by 136
  9. 2025ACON: Optimizing Context Compression for Long-horizon LLM Agentscited by 126
  10. 2025AgentFold: Long-Horizon Web Agents with Proactive Context Managementcited by 95
  11. 2024Prompt Compression with Context-Aware Sentence Encoding for Fast and Improved LLM Inferencecited by 51
  12. 2025Scaling LLM Multi-turn RL with End-to-end Summarization-based Context Managementcited by 51
13 more
  1. 2025The Complexity Trap: Simple Observation Masking Is as Efficient as LLM Summarization for Agent Context Managementcited by 40
  2. 2025LongCodeZip: Compress Long Context for Code Language Modelscited by 38
  3. 2026How Do AI Agents Spend Your Money? Analyzing and Predicting Token Consumption in Agentic Coding Taskscited by 28
  4. 2025Provence: efficient and robust context pruning for retrieval-augmented generationcited by 25
  5. 2025COMPASS: Enhancing Agent Long-Horizon Reasoning with Evolving Contextcited by 19
  6. 2026Active Context Compression: Autonomous Memory Management in LLM Agentscited by 15
  7. 2026Compressing Code Context for LLM-based Issue Resolutioncited by 12
  8. 2026A Self-Evolving Framework for Efficient Terminal Agents via Observational Context Compressioncited by 12
  9. 2026AgentSwing: Adaptive Parallel Context Management Routing for Long-Horizon Web Agentscited by 9
  10. 2026What Papers Don't Tell You: Recovering Tacit Knowledge for Automated Paper Reproductioncited by 6
  11. 2025Environmental Injection Attacks against GUI Agents in Realistic Dynamic Environmentscited by 5
  12. 2025AI-Driven Self-Evolving Software: A Promising Path Toward Software Automationcited by 3
  13. 2025CODEPROMPTZIP: Code-specific Prompt Compression for Retrieval-Augmented Generation in Coding Tasks with LMscited by 2

Built on by

Cited by year (2026 to 7 Oct)

Citing papers per year: 2026: 4.

4 papers.

Similar, not cited

Close in wording, no citation either way

  1. 2026AutoCompact: Learning When to Compact Context in Long-Horizon Coding Agents
  2. 2026AGORA: Adapter-Grounded Observation-Action Retention for Inference-Free Prompt Compression in LLM Agents
  3. 2026Paritok-4B: Intent-Conditioned Context Compression for Coding Agents
  4. 2025CoAct-1: Computer-using Multi-Agent System with Coding Actions
  5. 2026Experience Compression Spectrum: Unifying Memory, Skills, and Rules in LLM Agents
  6. 2026Preventing Premature Commitment in Coding Agents with an Evidence-Conditioned Execution Layer
  7. 2026EvoCode-Bench: Evaluating Coding Agents in Multi-Turn Iterative Interactions
  8. 2026CORVUS: Context Optimization and Reduction Via Underlying Synchronization for LLM Coding Agents