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This study challenges the prevailing assumption that structured artifact extraction is superior to raw text for long-context memory in LLMs. By holding all pipeline components constant, researchers found that verbatim conversation chunks significantly outperform distilled facts due to information loss during compression rather than a lack of structure. Consequently, optimal systems should augment stored artifacts with original text segments instead of relying on them as the sole representation.
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Fidelity Before Structure: Verbatim Chunks Beat Lossy Artifact Extraction in Long-Conversation LLM Memory

arXiv2 min read

arXiv:2601.00821v4 Announce Type: replace Abstract: A growing class of conversational-memory systems compresses dialogue history into structured artifacts (extracted facts, decisions, or events) on the premise that distilled structure retrieves better than raw text. We test this premise with a controlled ablation: within one fixed retrieval--rerank--reasoning pipeline, we swap only the stored representation (LLM-extracted typed artifacts versus verbatim conversation chunks), holding the model, retriever, reranker, and judge constant. Verbatim chunks win by 15.9 points on LoCoMo (43.9% vs. 28.0%) and 22.0 points on LongMemEval-S (67.4% vs. 45.4%); a 1-hop semantic graph does not recover the gap, and six confound controls reproduce the effect. The mechanism is lossy distillation, not structure per se: accuracy tracks how much source text survives in the store, and the extracted-artifact pipeline does not beat naive RAG in overall accuracy (though chunks abstain worse; see Limitations). For the extraction designs we test, structured memory should augment verbatim text rather than replace it: adding artifacts alongside chunks preserves accuracy; substituting them forfeits the gap. Code and data: https://github.com/tao-hpu/cog-canvas

Abstract:A growing class of conversational-memory systems compresses dialogue history into structured artifacts (extracted facts, decisions, or events) on the premise that distilled structure retrieves better than raw text. We test this premise with a controlled ablation: within one fixed retrieval--rerank--reasoning pipeline, we swap only the stored representation (LLM-extracted typed artifacts versus verbatim conversation chunks), holding the model, retriever, reranker, and judge constant. Verbatim chunks win by 15.9 points on LoCoMo (43.9% vs. 28.0%) and 22.0 points on LongMemEval-S (67.4% vs. 45.4%); a 1-hop semantic graph does not recover the gap, and six confound controls reproduce the effect. The mechanism is lossy distillation, not structure per se: accuracy tracks how much source text survives in the store, and the extracted-artifact pipeline does not beat naive RAG in overall accuracy (though chunks abstain worse; see Limitations). For the extraction designs we test, structured memory should augment verbatim text rather than replace it: adding artifacts alongside chunks preserves accuracy; substituting them forfeits the gap. Code and data: this https URL

v4: title and abstract aligned with ARR August 2026 submission; six confound controls; 34 pages, 6 figures. Code: this https URL

Artificial Intelligence (cs.AI); Computation and Language (cs.CL); Information Retrieval (cs.IR)

arXiv:2601.00821 [cs.AI]

(or arXiv:2601.00821v4 [cs.AI] for this version)

Full text under the publisher's open licence · 206 words

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