Liquid AI's LFM3 Small Model Outperforms Larger Rivals on Agent Tasks

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Liquid AI has released LFM3, a new family of small open-weight models, on October 27, 2026. Its flagship LFM3-1.7B fits in roughly 1 GB at 4-bit precision and supports a 256,000-token context window. The model uses a hybrid design mixing convolution layers with sliding-window and global attention, an architecture selected through hardware-in-the-loop testing across phones, laptops, CPUs, GPUs, and an NPU. On agent-oriented benchmarks such as WebArena-Verified, AutomationBench, and function calling, it beats the much larger Qwen 3.5 9B. It trails bigger models on agentic coding and knowledge-heavy tests like SWE-bench and GPQA, which Liquid acknowledges as expected for a model of its size.

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