# Federated Agent Optimization

arXiv: https://arxiv.org/abs/2610.01195 · HTML: https://mlsanity.com/paper/2610.01195/

## Key facts

- No citing papers in the map yet (data through 14 Oct 2026).
- Placed in General LLM agent frameworks and benchmarks, one of 16 directions in LLM agents and tool use.
- Builds on 169 of its 240 references that are in the map.
- First posted on arXiv 1 Oct 2026.

## Placed in

- LLM agents and tool use / [General LLM agent frameworks and benchmarks](https://mlsanity.com/agents/general-llm-agent-frameworks-and-benchmarks/)

## Builds on (most cited first, 30 of 169)

- [Training language models to follow instructions with human feedback](https://mlsanity.com/paper/2203.02155/) (2022)
- [ReAct: Synergizing Reasoning and Acting in Language Models](https://mlsanity.com/paper/2210.03629/) (2022)
- [Judging LLM-as-a-Judge with MT-Bench and Chatbot Arena](https://mlsanity.com/paper/2306.05685/) (2023)
- [Direct Preference Optimization: Your Language Model is Secretly a Reward Model](https://mlsanity.com/paper/2305.18290/) (2023)
- [Communication-Efficient Learning of Deep Networks from Decentralized Data](https://mlsanity.com/paper/1602.05629/) (2016)
- [Reflexion: Language Agents with Verbal Reinforcement Learning](https://mlsanity.com/paper/2303.11366/) (2023)
- [Toolformer: Language Models Can Teach Themselves to Use Tools](https://mlsanity.com/paper/2302.04761/) (2023)
- [Deep reinforcement learning from human preferences](https://mlsanity.com/paper/1706.03741/) (2017)
- [Let's Verify Step by Step](https://mlsanity.com/paper/2305.20050/) (2023)
- [A Survey of Large Language Models](https://mlsanity.com/paper/2303.18223/) (2023)
- [A Survey on Large Language Model based Autonomous Agents](https://mlsanity.com/paper/2308.11432/) (2023)
- [Voyager: An Open-Ended Embodied Agent with Large Language Models](https://mlsanity.com/paper/2305.16291/) (2023)
- [WebArena: A Realistic Web Environment for Building Autonomous Agents](https://mlsanity.com/paper/2307.13854/) (2023)
- [AutoGen: Enabling Next-Gen LLM Applications via Multi-Agent Conversation](https://mlsanity.com/paper/2308.08155/) (2023)
- [ToolLLM: Facilitating Large Language Models to Master 16000+ Real-world APIs](https://mlsanity.com/paper/2307.16789/) (2023)
- [MetaGPT: Meta Programming for A Multi-Agent Collaborative Framework](https://mlsanity.com/paper/2308.00352/) (2023)
- [τ-bench: A Benchmark for Tool-Agent-User Interaction in Real-World Domains](https://mlsanity.com/paper/2406.12045/) (2024)
- [CAMEL: Communicative Agents for "Mind" Exploration of Large Language Model Society](https://mlsanity.com/paper/2303.17760/) (2023)
- [Gorilla: Large Language Model Connected with Massive APIs](https://mlsanity.com/paper/2305.15334/) (2023)
- [AgentBench: Evaluating LLMs as Agents](https://mlsanity.com/paper/2308.03688/) (2023)
- [OSWorld: Benchmarking Multimodal Agents for Open-Ended Tasks in Real Computer Environments](https://mlsanity.com/paper/2404.07972/) (2024)
- [Language Models as Zero-Shot Planners: Extracting Actionable Knowledge for Embodied Agents](https://mlsanity.com/paper/2201.07207/) (2022)
- [Deep Leakage from Gradients](https://mlsanity.com/paper/1906.08935/) (2019)
- [ChatDev: Communicative Agents for Software Development](https://mlsanity.com/paper/2307.07924/) (2023)
- [Tackling the Objective Inconsistency Problem in Heterogeneous Federated Optimization](https://mlsanity.com/paper/2007.07481/) (2020)
- [ExpeL: LLM Agents Are Experiential Learners](https://mlsanity.com/paper/2308.10144/) (2023)
- [Large Language Models as Optimizers](https://mlsanity.com/paper/2309.03409/) (2023)
- [Large Language Model based Multi-Agents: A Survey of Progress and Challenges](https://mlsanity.com/paper/2402.01680/) (2024)
- [Inverting Gradients -- How easy is it to break privacy in federated learning?](https://mlsanity.com/paper/2003.14053/) (2020)
- [Byzantine-Robust Distributed Learning: Towards Optimal Statistical Rates](https://mlsanity.com/paper/1803.01498/) (2018)

## Abstract (arXiv)

Large language model (LLM) agents increasingly operate in private environments and accumulate valuable experience from task execution, tool use, feedback, and local knowledge. Yet such experience is distributed across organizations and cannot be directly shared because of privacy and proprietary constraints. Conventional federated learning is insufficient for this setting, as agent capabilities extend beyond model parameters to memory, tools, rewards, skills, and structured knowledge. In this paper, we formulate Federated Agent Optimization (FAO), which studies how distributed agents can collaboratively improve through controlled information exchange while keeping raw data, complete trajectories, and private knowledge local. We define FAO as a multi-objective problem balancing agent utility, privacy leakage, and communication cost, and organize its optimization space across policy, memory, tool use, reward, and structured knowledge and skills. We further characterize how private experience can be abstracted, protected, aggregated, and adapted into transferable capabilities, providing a unified view of how agents can benefit from one another without direct experience sharing. Finally, we identify the key challenges of FAO and outline several promising directions for future research toward trustworthy federated agent systems.