Compressing system-side control context has a sharp, non-linear reliability cliff
"Control Under Compression" (arXiv 2608.01056, 2 Aug 2026) targets agent control contexts — the persistent system-side instructions specifying tools, arguments, policies, execution protocols and recovery — rather than conversation history. Across a 15,525-run environment-verified benchmark, retaining 75% of context held success near the full-context baseline (92.7% and 92.4% versus 93.8%), but between 50% and 35% the methods diverged sharply, dropping to 47.0%, 39.0% and 19.9% at 35% depending on compression method. Failures appeared mainly as tool-execution and action-parsing errors, and reliability varied enough between control contexts that the authors argue universal compressor rankings are inappropriate and each context needs its own qualification. This reframes tool and policy prompt trimming as a runtime-reliability decision requiring per-context executable testing, with a safe-looking zone that ends abruptly.