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Needle: We Distilled Gemini Tool Calling into a 26M Model

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Hey HN, Henry here from Cactus. We open-sourced Needle, a 26M parameter function-calling (tool use) model. It runs at 6000 tok/s prefill and 1200 tok/s decode on consumer devices.We were always frustrated by the little effort made towards building agentic models that run on budget phones, so we conducted investigations that led to an observation: agentic experiences are built upon tool calling, and massive models are overkill for it. Tool calling is fundamentally retrieval-and-assembly (match query to tool name, extract argument values, emit JSON), not reasoning. Cross-attention is the right primitive for this, and FFN parameters are wasted at this scale.Simple Attention Networks: the entire model is just attention and gating, no MLPs anywhere. Needle is an experimental run for single-shot function calling for consumer devices (phones, watches, glasses...).Training: - Pretrained on 200B tokens across 16 TPU v6e (27 hours) - Post-trained on 2B tokens of synthesized function-calling data (45 minutes) - Dataset synthesized via Gemini with 15 tool categories (timers, messaging, navigation, smart home, etc.)You can test it right now and finetune on your Mac/PC: https://github.com/cactus-compute/needleThe full writeup on the architecture is here: https://github.com/cactus-compute/needle/blob/main/docs/simp...We found that the "no FFN" finding generalizes beyond function calling to any task where the model has access to external structured knowledge (RAG, tool use, retrieval-augmented generation). The model doesn't need to memorize facts in FFN weights if the facts are provided in the input. Experimental results to published.While it beats FunctionGemma-270M, Qwen-0.6B, Granite-350M, LFM2.5-350M on single-shot function calling, those models have more scope/capacity and excel in conversational settings. We encourage you to test on your own tools via the playground and finetune accordingly.This is part of our broader work on Cactus (https://github.com/cactus-compute/cactus), an inference engine built from scratch for mobile, wearables and custom hardware. We wrote about Cactus here previously: https://news.ycombinator.com/item?id=44524544Everything is MIT licensed. Weights: https://huggingface.co/Cactus-Compute/needle GitHub: https://github.com/cactus-compute/needle

HN · launched May 12, 2026 · 776 upvotes (top 1%) · 1 view

Niche: large language models · 191 launches, 4 in the last 7 days ▼ -33% · Explore this niche →

Category and tags

  • Horizontal
  • Model & infra
  • Developer
  • AI-native
  • Commercial product

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Could you build this?

No Training and distilling a custom 26M parameter model specifically for tool calling requires deep ML research expertise, model architecture design, synthetic dataset generation, and specialized GPU training pipelines.

What it would actually take: Architecture requires defining a compact transformer architecture (PyTorch/JAX) tailored for ultra-fast inference on edge devices (e.g. using quantization and ONNX/GGML runtimes). The hard part is generating tens of thousands of high-quality execution trajectories and tool-calling data from frontier models (Gemini), designing effective loss functions for distillation, and rigorous benchmark evaluation to maintain reliable JSON/tool adherence at sub-50M parameters.

Discussion

20 comments analyzed.

Competitors mentioned: llamafile, teale.com

Concerns raised: annotation costs are extremely high ($50-$1000+ per annotation), distillation from big LLMs vs human annotations - why not use human outputs instead

Feature requests: commit and push tool, model that runs on 8GB MacBook Air and 6GB Android smartphones

Competitors

Other products that read as similar to this one : 120 launches clear the similarity bar, closest 8 shown.

Attention rank: #1 of 121 (itself plus its competitors, highest first, normalized so YC and Product Hunt are compared fairly).

Launched 187 days after the earliest competitor.

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