Test-time Compute
also called Inference-time compute, Thinking budget
Buying accuracy with more thinking at answer time, not more training.
The idea that a model can spend more computation when answering — generating a longer reasoning chain, sampling several attempts, searching over options — to improve the result. It is a lever you control per request rather than something fixed at training time.
This reframed the cost model: quality is no longer purely a property of which model you called, but of how much you let it think. The trade-off is explicit and per-request, which is why routing and budgets became standard architecture.
There is a diminishing-returns curve and it is worth measuring rather than assuming. Past a point, longer reasoning chains wander, restate, or talk themselves out of a correct answer. Your eval set is the only way to find where the curve flattens for your task.
Finding your thinking budget
Choosing a thinking budget for a multi-step analysis feature.
Run the eval set at several budgets and plot accuracy against latency and cost. Most tasks show a knee; setting the budget at the knee rather than at the maximum usually recovers most of the quality at a fraction of the response time.
Assuming more thinking always helps. On easy tasks it adds cost and latency, and very long chains can drift away from the question.
- docsExtended thinking ↗
Configurable thinking budgets and interleaved reasoning around tool results — the API-level view of chain of thought as a resource you pay for.
- paperChain-of-thought prompting elicits reasoning in large language models ↗
Few-shot demonstrations containing intermediate reasoning steps improved results on arithmetic, commonsense and symbolic reasoning tasks.
- paperDeepSeek-R1: incentivizing reasoning capability in LLMs via reinforcement learning ↗
Reinforcement learning on verifiable tasks elicited reasoning patterns — self-checking, backtracking — with substantial open publication of the recipe.
Reasoning Model · Thinking model
A model trained to spend tokens thinking before it answers.
Chain of Thought · CoT
Let the model work through steps before committing to an answer.
Sampling
How the model picks one token out of the distribution.
Latency
Total time from request to finished answer.
Temperature
The dial between predictable and creative.