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PC-SHO-DLM
Predictive-Coding Diffusion Language Models with Precision-Conditioned Second-Order Settling
Overview
PC-SHO-DLM is a research architecture that unifies three individually mature research threads:
- Masked discrete diffusion for iterative text denoising
- Predictive coding for local error-driven inference and learning
- Second-order dynamical systems for accelerated latent settling
The core insight: diffusion denoising and predictive coding are both iterative residual-correction procedures, making diffusion a structurally natural host for predictive-coding-based language modeling.
Key Contributions
- Bidirectional predictive transformer with both bottom-up and top-down pathways
- Precision-conditioned second-order settling (damped inertial dynamics with learned uncertainty)
- State continuation across diffusion steps (warm-start from previous denoising step)
- Tokenwise adaptive settling (selective compute allocation to uncertain tokens)
- Globally backpropagation-free training via local prediction-error-driven updates
Theoretical Results
| Theorem | Result |
|---|---|
| A: Reduced-objective exactness | Local post-settling updates = exact gradients via envelope theorem |
| B: Accelerated settling | O(sqrt(kappa)) vs O(kappa) microsteps over first-order PC |
| C: Warm-start tracking | Settling cost depends on inter-step drift, not full re-solve |
| D: Precision optimality | GLS-optimal under heteroscedastic prediction errors |
Project Structure
pc-sho-dlm/
βββ paper/
β βββ main.tex # Full LaTeX manuscript
β βββ references.bib # Bibliography
βββ src/
β βββ model.py # Core PC-SHO-DLM architecture
β βββ train.py # Training loop (local + backprop modes)
βββ experiments/
β βββ ablation_runner.py # Ablation study runner
β βββ settling_analysis.py # Settling dynamics analysis
βββ README.md
Quick Start
Sanity Check
cd src
python model.py
Train (Local PC mode)
python src/train.py --mode local --device cpu --max_steps 5000
Train (Backprop baseline)
python src/train.py --mode backprop --device cpu --max_steps 5000
Run Ablations
python experiments/ablation_runner.py --device cpu
Analyze Settling Dynamics
python experiments/settling_analysis.py --device cpu
Experimental Program
Stage 1: Proof of Mechanism (20M-100M params)
- Character/subword corpora (text8, enwik8, WikiText-103)
- Establish second-order PC is more compute-efficient than first-order PC
Stage 2: Medium Scale (100M-1B params)
- Open web corpus subset
- Compare against backprop-trained masked diffusion
Stage 3: Structured Generation
- Infilling, editing, code completion
- Test selective settling and state continuation
Falsification Criteria
This proposal should be judged a failure if:
- Second-order settling does not reduce required microsteps
- Local learning creates an irrecoverable quality gap vs backprop
- Precision heads fail to calibrate
- Dynamics frequently enter limit cycles
- State continuation does not materially reduce compute
Citation
@article{pcshodlm2026,
title={PC-SHO-DLM: Predictive-Coding Diffusion Language Models
with Precision-Conditioned Second-Order Settling},
year={2026}
}
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