Engineering & Technical

The Engineer

The Signal

Uber's MCP gateway broke at 5,000 tools on tool schemas, not on per-call cost.

At a few hundred tokens per schema, that catalogue nears a million tokens of definitions before an agent reads one request, by an outside estimate. Each gateway call stays cheap, so request-rate dashboards never show the wall. CorpusMap's unrelated design also cut what the model sees and got better results.

In Play

  1. Uber's MCP Gateway Hit Context Limits First

    Uber's MCP gateway, fronting 800+ servers and 5,000 tools, hit context bloat before request volume. As in the compute story below, its binding limit is a resource you can't top up on demand. Instrument context tokens per turn this sprint.

  2. A Stronger Verifier Lifted a 9B Agent 18 Points

    NVIDIA and KAIST's Mid-Harness lifted a 9B agent from 50.00% to 68.03% Pass@1 on TerminalBench-Lite by having a stronger model vet candidate actions. Self-verification reached only 54.76%, per TheSequence.

  3. Compute You Can't Buy on Demand

    Gergely Orosz reports CPU shortages. The Information reports Nscale's $103B backlog rests on 12 data centers not yet built or fully financed. The FT reports Nvidia is weighing insuring GPU-cloud lenders. Together they undercut the assumption behind both your autoscaler and your future-dated GPU reservations: that capacity arrives on request.

  4. An Anthropic Engineer's Report Moves AI Incident Response to 'Maybe'

    Anthropic engineer Alex Palcuie reported real problems using Claude for incident response, a trajectory Sylvain Kalache summarized as 'from no to maybe.' Separately, Lorin Hochstein analyzed an incident report that blamed both correctly following an incorrect procedure and incorrectly following a correct one. For your on-call tooling, automation removes execution slips but runs a wrong runbook faithfully and fast. A 'maybe' still leaves autonomous remediation unproven.

Deep Dives

Uber's Gateway and CorpusMap Both Shrink What the Model Sees

Two unrelated designs cut agent input and got better results, which makes your context budget, not your request rate, the first number to instrument.

Why the catalogue broke before the traffic

The ML Engineer's back-of-envelope math explains where the wall landed. A tool schema is a few hundred tokens, so Uber's catalogue costs an agent roughly a million tokens of definitions before any request. That estimate is the author's, not Uber's figure. Gateway calls are cheap, so request volume never bound. The context window did, because every candidate tool competes for it.

This is a service mesh, and meshes already proved the split. An MCP registry is the control plane, cataloguing servers and tools. A proxy gateway is the data plane, translating MCP calls into HTTP, gRPC or TChannel at runtime. That translation is the underrated win. Existing microservices become agent-reachable without an MCP rewrite. AutoCrawler continuously scans Uber's API definitions, generates MCP servers and has an LLM enrich tool descriptions.

Three fixes, three new dependencies

FixWhat it removes from contextWhat it costsFailure to watch
One proxy server with incremental tool discoveryThe upfront tool catalogueExtra discovery round-tripsThe agent can't call a tool discovery never surfaced
GraphQL-like field selection on responsesResponse fields the agent didn't ask forProjection logic in the gatewayUnder-selection triggers re-query loops that eat the savings
Code mode: coding agents call tools via CLI, output goes to filesRaw tool output, which the agent reads selectivelyA sandboxed filesystem and CLI per sessionFiles persist sensitive data; the CLI path must still pass gateway authz and redaction

CorpusMap reaches the same answer from the retrieval side

TheSequence covers a Microsoft and KAIST paper attacking the same budget in RAG. CorpusMap builds Entity Pages offline, each linking every document that mentions a recurring entity, and agents walk those links as paths. On EnterpriseRAG-Bench, WixQA and HERB, overall quality rose 6.45 points with GPT-5.5 and up to 11.74 with Luna. Input tokens fell to 0.43–0.65× baseline. Those two usually trade off. Both improved because cross-document work moved to index time.

Same pattern twice. Both move work off the context window into something cheaper: discovery calls and files at Uber, an offline build in CorpusMap. Both buy a failure mode. Uber's discovery recall becomes a correctness dependency. CorpusMap operators own entity resolution and rebuild cadence, and stale pages on fast-moving corpora like tickets or chat logs send agents down outdated paths.

The control that makes auto-generation survivable

Every Uber tool is registered disabled until someone enables it. Otherwise the crawler would make each new endpoint, destructive ones included, agent-callable the moment it read the definition. The ML Engineer names the catch, and I have watched approval gates fail exactly this way. With no named owner and no enablement SLA, disabled-by-default becomes a queue that teams bypass by wiring agents to APIs directly. The LLM-written descriptions need code review too, since the description decides which tool the agent picks.

One gap matters. Tools are authorized at tool level, but Uber's write-up never says whose identity the gateway evaluates: end user, agent or gateway. Zalando's open-sourced Agentic Identity Broker, walked through with KAOS, separates three principals: a user delegating to an agent, the agent's own tool and model calls, and an autonomous agent with no user that must stay inside its grant. KAOS is maintained by the institute that published the walkthrough, so treat it as a reference design, not a validated dependency.

What to do

  1. Instrument tool-definition tokens per session and per turn across your MCP servers this sprint, then prototype a single discovery proxy in front of them before adding more tools.

  2. Switch tool registration to disabled-by-default, with a named owner and enablement record per tool, before your team builds any OpenAPI- or proto-to-MCP generator this quarter.

  3. Write an Alice/Bob confused-deputy test suite this quarter covering cross-user access through a shared agent, the agent's own calls, and an autonomous agent probing outside its grant, and run it in CI.

A Frontier Judge Carried the 9B Agent, and Self-Checking Didn't

The ablation locates reliability in an independent, stronger model reviewing short candidates. That is a cost you pay per step, so spend it only where actions can't be undone.

The ablation is the result

Mid-Harness leaves the generator and harness alone. Each step samples candidate terminal actions, N=8 in the headline run, and a verifier vets them before anything executes. TheSequence's ablation is the part worth keeping. Distilling the frontier verifier into a smaller model recovered only about 2.4 of the 13.3-point gap between self-checking and the frontier judge.

  • Pairwise self-verification, the 9B model judging its own candidates: +4.76 points.
  • Distilled verifier: +7.14 points.
  • GPT-5.6 Sol verifier: +18.03 points.

The gain needs a verifier that is stronger and different from the generator. Likeliest reason: a model reviewing its own proposals shares their blind spots.

The cost shape is asymmetric

A cheap generator proposes. An expensive model judges short candidates. Each step costs N samples plus verifier calls. Per TheSequence, verifier calls reuse the trajectory prefix, so at current frontier pricing most of their input bills at the cached rate. Mid-Harness plus Best-of-T (T=3) hit 66.33%, below the plain verifier. Its compute budget is unpublished. Read it as another point on the cost curve, not a regression.

So gate the steps that cannot be undone: shell commands, file writes, API calls with side effects. Reads and reversible edits run unverified. The metric is cost per successful task, not cost per call.


RRSI: the same judge problem in harness tuning

Same principle, applied to automated optimization. An LLM editing prompts, tools and control flow around a frozen model, scored against the same evolve set each round, overfits that set. RRSI, from Google Cloud AI Research, Stanford and others, keeps every component editable and constrains the search instead:

  • an annealed edit budget: bundled edits early, single edits late;
  • a diff critic that rejects edits encoding task names or benchmark answers;
  • a noise-adjusted acceptance floor and a cost rule;
  • a pruner that deletes components that stopped contributing.

The two outlets agree on direction, not framing. The ML Engineer reports the best out-of-distribution average, 43.6 versus 39.7 for the base harness, on about a third fewer tokens, with the smallest evolve-set gain. TheSequence reports +4.0 on evolve suites and +3.4 held-out, all six held-out benchmarks improving around a frozen Claude Opus 4.8, at roughly 36% fewer policy tokens per trial. TheSequence also flags that the benchmark counts in its source don't reconcile, so check the paper before quoting either figure internally. Ranked by evolve-set gain alone, the best method would have come last.

Where this still breaks

  • The diff critic only catches crude leakage. Prompts that mimic the eval set's phrasing pass. The held-out set has to stay frozen and get refreshed.
  • The verifier sits on the critical path of every irreversible step. Our inference: its latency and availability now bound the agent's. Budget it like any other synchronous dependency.

What to do

  1. Prototype a cross-model verifier gate on one agent's irreversible actions this sprint: sample several candidates from your current model, have a stronger, different model approve one before execution, and report cost per successful task.

  2. Split every automated prompt- or harness-tuning loop into an evolve set and a frozen held-out set this sprint, and merge a change only if held-out results don't regress beyond measured eval noise.

Your Autoscaler and Your 2027 GPU Reservations Share One Bad Assumption

CPU shortages and unfinanced data center sites break the premise that capacity shows up when requested. That turns fleet efficiency and delivery evidence into the real supply plan.

A backlog is a dependency chain

Remove the valuation and Nscale's contracted capacity is a sequence of steps, each of which can fail on its own. Financing closes, the site gets built, power is energized, chips arrive, racks burn in, the cluster validates, and capacity is handed over. The Information reports that financing sits upstream of every step and is getting harder and costlier to raise. The anchor tenants on Nscale's ramp are Anthropic, Microsoft and Figure AI, scheduled for 2027–2028. Microsoft buys Nscale capacity, so some hyperscaler GPU supply in that window also depends on these sites landing on time.

The systems term for the sector-wide risk is correlated failure. Neoclouds borrow from the same credit markets, so tight credit can slip several build-outs at once. Three neoclouds are less diversification than they look. Two replicas on one power feed were never redundant either.

The financing signals point the same way

The FT reports Nvidia's insurer talks, which are preliminary, are meant to protect lenders whose pledged GPUs might not resell for enough to repay the loans. The FT also reports Amazon is exploring moving $8B of Nvidia chips into an outside vehicle and leasing them back. The Information reports credit for data center debt is tightening while Oracle borrows heavily for its AI buildout. None of this says any service is failing. Read together, it says lenders doubt how well GPUs hold value. The GPU under a smaller provider's reservation is also someone's collateral. A default can make that capacity disappear on short notice.

CPUs join the list

Horizontal pod autoscaling and node autoscaling share one assumption: capacity is acquirable on demand. The CPU shortages Gergely Orosz describes break that assumption at the worst moment, during a traffic spike or when recovery needs scale-out. Cloudflare's post on saving another ~100TB of RAM with math and Rust shows the other supply source, which is capacity reclaimed from the operator's own fleet. Its most reusable section covers changing the hashing scheme in a massively distributed cache without invalidating it. Get that step wrong and a memory win becomes an origin stampede.

Right-sizing has a cost under scarcity. Tighter requests pack workloads densely and remove burst slack. Keep reclaimed capacity reserved instead of releasing it. Re-acquiring it during a shortage may not be possible.

A delivery tier for every reservation

TierStateHow to verifyPlanning treatment
T0Running, benchmarkable todayYour own jobs, collective-comms benchmarks, incident historyPlan of record
T1Built, in burn-in or validationHandover date, acceptance test resultsPlan with weeks of buffer
T2Under construction, financedEnergization date, chip delivery scheduleBuffer in quarters, plus a named fallback
T3Contracted, not fully financedFinancing closeAn option only, never critical path

Nscale's backlog sits almost entirely in T2 and T3. The reporting doesn't separate the two. The price risks point in opposite directions. Costlier debt lands in GPU-hour prices, which argues for budgeting 2027 against more than one price scenario. Distressed capacity reaching the market could instead push short-term prices down. Long fixed-price commitments on current-generation hardware lose in both cases.

What to do

  1. Run a zero-new-capacity test on each critical node pool this sprint: find the maximum scale reachable without new provider capacity, and check how many instance families Karpenter or Cluster Autoscaler may fall back to.

  2. Tag every GPU reservation by delivery tier this quarter, and require site-level financing status, power energization date and slip remedies in writing for anything more than 12 months out.

  3. Drill a failover of one production inference service to a second GPU provider this quarter, pulling weights and checkpoints from object storage you control.

The bottom line

The context and compute stories share one pattern: the resource that limits each system is one you cannot top up on demand, whether that is the context window, spare CPUs, or GPUs in buildings that exist only in contracts. The old fallback of buying headroom when a limit bites is gone, so efficiency work stops being cost hygiene and becomes the supply plan. This week, have your agent platform owner log tool-definition tokens versus payload tokens per turn for one production agent, set a per-turn ceiling, and move that agent's catalogue behind a discovery step if definitions dominate.