LoopFM: Learning frOm HistOrical RePresentations of Foundation Model for Recommendation
cs.LG, cs.AI, cs.IR
Submitted: 2026-05-28
Updated: 2026-10-07
Comments: Hua Zheng, Shali Jiang, Boyang Liu contributed equally to this work
Code: https://github.com/reczoo/BARS
License: http://creativecommons.org/licenses/by-sa/4.0/
The gist: Knowledge distillation (KD) transfers a single scalar prediction from a large foundation model (FM) to compact vertical models (VMs), suffering from diminishing transfer ratio -- the fraction of FM
Terminology
Abstract
Knowledge distillation (KD) transfers a single scalar prediction from a large foundation model (FM) to compact vertical models (VMs), suffering from diminishing transfer ratio -- the fraction of FM improvement captured by the VM -- as a single scalar cannot convey the rich intermediate knowledge that larger FMs learn. To address this bottleneck, we propose LoopFM (Learning frOm HistOrical RePresentations of FM), a framework that opens a high-bandwidth transfer channel by structuring FM intermediate embeddings as input features (e.g., user history sequence) for downstream VMs, without requiring real-time FM inference at serving and architectural coupling between FM and VM. We provide a theoretical framework for LoopFM with a gain decomposition and transfer-ratio analysis. On three public benchmarks, LoopFM demonstrates strong AUC improvements (e.g., 6%+ on TaobaoAd) and complementary knowledge transfer capability with KD. On industrial-scale systems (billions of examples, trillion-parameter FMs), LoopFM approximately doubles the knowledge transfer ratio on top of KD, delivering a +0.5% conversion improvement in the first half after its initial launch, and +1.03% and +1.22% conversion improvement from two individual launches in the subsequent half. Through systematic experiments, LoopFM demonstrates a scaling law in sequence length, embedding dimension, and upstream FM size.
Sources
- Massive Memorization with Hundreds of Trillions of Parameters for Sequential Transducer Generative Recommenders
- Distillation Matters: Empowering Sequential Recommenders to Match the Performance of Large Language Model
- Distilling the Knowledge in a Neural Network
- Kunlun: Establishing Scaling Laws for Massive-Scale Recommendation Systems through Unified Architecture Design
- IAT: Instance-As-Token Compression for Historical User Sequence Modeling in Industrial Recommender Systems
- External Large Foundation Model: How to Efficiently Serve Trillions of Parameters for Online Ads Recommendation
- Deep Learning and the Information Bottleneck Principle
- LLaTTE: Scaling Laws for Multi-Stage Sequence Modeling in Large-Scale Ads Recommendation
Related papers
- Polynomial-Augmented Neural Networks (PANNs) with Weak Orthogonality Constraints for Enhanced Function and PDE Approximation
- AIRL-S: Unifying Reinforcement Learning and Search-Based Test-Time Scaling via Adversarial Inverse Reinforcement Learning
- Transformers as Bayesian In-Context Experimenters: Smoothness-Adaptive Efficient ATE Estimation
- Convergence issues in Relational Concept Analysis based on AOC-posets
- Beliefs Beyond Posteriors: The Predictive Cost of ELBO Binding
- Understanding Diffusion Models via Ratio-Based Function Approximation with SignReLU Networks