# DeepSeek-V3.2 vs LFM3-1.7B

> LFM3-1.7B scores 61 (C) to DeepSeek-V3.2's 58.6 (C) for open-weight models you run yourself. Prices, MCP, x402, uptime and agent notes side by side.

- Canonical: https://www.anchorterminal.com/compare/deepseek-v3-2-vs-lfm3-1-7b
- Markdown: https://www.anchorterminal.com/compare/deepseek-v3-2-vs-lfm3-1-7b.md (~9,500 tokens)
- Site index for agents: https://www.anchorterminal.com/llms.txt (the key docs and every listing in one file, at most 16 MB, about 4 million tokens: https://www.anchorterminal.com/llms-full.txt)
- API: https://www.anchorterminal.com/api/v1/index.json
- MCP: https://www.anchorterminal.com/mcp (the whole catalogue as tools, no key)
- DNS: dig +short TXT <slug>.grade.anchorterminal.com (the grade as a DNS TXT record, for a sandbox with no HTTP where names still resolve; also top., best.<category>. and <a>.vs.<b>. under the zone, and the same under grade.letme.dev)
- Licence: CC BY 4.0, credit Anchor Terminal and link this page (https://www.anchorterminal.com/terms/#data)
- Updated: 2026-11-10

LFM3-1.7B scores 61 (C) on agent readiness against DeepSeek-V3.2's 58.6 (C), and leads in 3 of 4 scored categories. DeepSeek-V3.2 leads on risk. Both do open-weight models you run yourself.

- DeepSeek-V3.2: grade C, 58.6/100, rank #102 of 160 open-weight models. Markdown https://www.anchorterminal.com/tools/deepseek-v3-2.md · JSON https://www.anchorterminal.com/api/v1/tools/deepseek-v3-2.json
- LFM3-1.7B: grade C, 61/100, rank #69 of 160 open-weight models. Markdown https://www.anchorterminal.com/tools/lfm3-1-7b.md · JSON https://www.anchorterminal.com/api/v1/tools/lfm3-1-7b.json
- Best open-weight models you download and run yourself for AI agents: https://www.anchorterminal.com/best/open-weights/index.md
- All 6359 open weights comparisons: https://www.anchorterminal.com/compare/open-weights/index.md

## Which one, for what

### DeepSeek-V3.2 (C)

Good for: Teams with an eight-GPU server who want an MIT agent model with broad runtime support, or agents calling it through a hosted provider

Ahead on:
- Risk, 50 against 40

Watch for: 689.5 GB of FP8 files and no smaller build from DeepSeek or a runtime library, far beyond 107.4 GB

### LFM3-1.7B (C)

Good for: Agents on a laptop, phone or small server that need tool calling and a long context from a model under 2 GB at 4 bits

Ahead on:
- Reach, 85 against 60
- Agent interface, 100 against 60
- Documentation and upkeep, 67 against 34

Watch for: vLLM and SGLang have no released support, though the card lists both


## Why the edge

### Agent interface: LFM3-1.7B +40

- DeepSeek-V3.2 (60): The chat template earns 10, as the format exists only as Python code to run. The tool-calling format earns 10 because DeepSeek documents the DSML format in code but names no runtime parser, which only vLLM's own recipe does. Trained tool calling earns the full 20 for several calls in one block. Structured output earns nothing, as JSON output isn't documented. Reasoning control earns 10 for thinking or chat mode per request with reasoning_content returned. Context earns 10 for 128K trained tokens.
- LFM3-1.7B (100): Chat template 20, chat_template.jinja in the repository (12,129 characters), with roles, tools, deferred tools, tool results and the thinking switch. Tool-calling format 25, the card and Liquid's tool-use page document tools passed through `tools=` in apply_chat_template, calls returned as XML and results sent back as tool messages. Trained tool calling 20, the template loops over every entry in an assistant turn's tool_calls, so several calls fit in one turn, and the card says the model was trained on tool calls and agentic traces and with reinforcement learning inside agent harnesses. Structured output 15, Liquid's API guide documents `response_format` with a JSON Schema, with lfm3-1.7b as the model in its examples, and says the schema is checked before generation starts. Reasoning control 10, the card documents `enable_thinking=False` in the chat template to turn reasoning off per request, with reasoning on by default inside think tags, and `preserve_thinking` for earlier turns. Context 10, 256K tokens per the card, which says the mid-training stage extended the context window to 256K, and max_position_embeddings 262144 in config.json. 20 + 25 + 20 + 15 + 10 + 10 = 100.

### Documentation and upkeep: LFM3-1.7B +33

- DeepSeek-V3.2 (34): The model card earns 14 when read with DeepSeek's own V3.2 model card PDF, which adds intended use and a parameter count, leaving languages and a knowledge cut-off missing. Training data earns 5, a general description with no cut-off. Last change earns 5, as nothing in the repository has changed since 1 December 2025 (338 days on 4 November) and DeepSeek's deepseek-recipe has no V3.2 code. Responsiveness earns nothing, with no reply from a deepseek-ai member in any of the 40 most recent discussions. Version policy earns 5 for earlier versions kept apart without dated notes. File health earns 5 because loading and parsing reports wait without a reply.
- LFM3-1.7B (67): Model card 17, Intended use (local agents, tool calling, structured outputs, fine-tuning), a limitation (not recommended for agentic coding or complex multi-step reasoning), architecture (24 layers: 13 gated short convolutions, 5 sliding-window and 6 global attention), parameters (1.73B), context (256K) and 16 languages. Training data 5, A general description: 22T tokens of pre-training in two stages with the kinds of data added since LFM2, 1.75T tokens of supervised fine-tuning, then mixed reinforcement learning, distillation from six specialist teachers and agentic reinforcement learning. Last change 20, the last commit, on 9 November 2026, added the OpenVINO checkpoint to the card's inference table, a day before this check. Responsiveness 10, Of the 22 discussions that aren't pull requests (27 October to 8 November 2026), 7 have a reply from a LiquidAI member, which is some. Version policy 5, LFM3 came out in new repositories and the LFM2.5 models stay in theirs. File health 10, Config, template and card agree on the lfm3 architecture, the 262,144-token context and the thinking switch. 17 + 5 + 20 + 10 + 5 + 10 = 67.

### Reach: LFM3-1.7B +25

- DeepSeek-V3.2 (60): Memory earns nothing, because the only build from DeepSeek or a runtime's library is the 689.5 GB FP8 release, which needs about 827 GB with the fifth added. Runtimes earn the full 25 for released model code in vLLM, SGLang, llama.cpp and Transformers, and for Ollama 0.40.14, whose llama.cpp pin (b11963) carries the deepseek32 architecture with no gate in Ollama's server code, though its library entry stays retired; nothing from LM Studio. Builds earn 10 for the single FP8 precision DeepSeek publishes. Terms earn the full 15 for MIT with nothing added, and download the full 10 since the repository isn't gated. Hosted earns nothing, since DeepSeek's own API moved to V4 on 24 April 2026 and Hugging Face maps only DeepInfra as live for it on 4 November (Novita and Featherless in error), where the line needs two providers. Fireworks' model page says Serverless Not Supported and lists it only for on-demand deployment on dedicated GPUs, which is renting the hardware rather than calling a served model.
- LFM3-1.7B (85): Memory 30, Liquid's Q4_K_M GGUF is 1.10 GB, and 1.10 GB × 1.2 = 1.3 GB, which fits 8 GB, well inside the 16 GB line. Runtimes 15, Released llama.cpp has the lfm3 architecture (src/models/lfm3.cpp at b12242), Ollama's library has an lfm3 entry, and LM Studio's catalogue runs the architecture (its liquid/lfm3-vl-2b entry; lmstudio-community publishes a GGUF of this model). Builds 15, Liquid's GGUF repository holds Q4_0, Q4_K_M, Q8_0, F16 and BF16 files, and Liquid publishes 4-bit and 8-bit MLX builds and an ONNX repository, all in the LiquidAI organisation. Terms 10, the LFM Open License v1.0, a custom licence that lets anyone use it commercially for free below a threshold of $10M annual revenue. Download 10, the Hub API reports gated false for the model and its GGUF, MLX and ONNX repositories on 10 November 2026, so the files download with no account and nothing to accept. Hosted 5, Liquid's own API lists lfm3-1.7b among its models, so the publisher hosts it. 30 + 15 + 15 + 10 + 10 + 5 = 85.

### Risk: DeepSeek-V3.2 +10

- DeepSeek-V3.2 (50): File safety earns 15, safetensors only but 10 off because prompts are built by running DeepSeek's Python from the repository. Provenance earns the full 15 for the deepseek-ai organisation and a SHA-256 on every shard. Safety evaluation earns nothing, since no results are published anywhere. Agent guidance earns nothing, since the notes about the parser and the developer role are usage notes, read alike for all three DeepSeek listings. Licence risk keeps the full 15 for plain MIT. The security programme earns 5 for the security@deepseek.com reporting address on DeepSeek's site, with no public advisories.
- LFM3-1.7B (40): File safety 15, safetensors only, no .bin, .pt or .pth files (25). Provenance 15, files in the LiquidAI organisation, which Liquid's docs page for the model and its blog post link to (10). Safety evaluation 0, no safety results on the card or in Liquid's blog post for the LFM3 family, neither of which mentions safety testing. Agent guidance 0, Nothing on prompt injection, an instruction hierarchy, what refusals cover or safeguards to add. Licence risk 10, 15 less 5 for the $10M annual revenue threshold on commercial use. Security programme 0, no way to report a flaw found. 15 + 15 + 0 + 0 + 10 + 0 = 40.

## Score by category

| Category | Weight | DeepSeek-V3.2 | LFM3-1.7B | Edge |
| --- | --- | --- | --- | --- |
| Capability | 35%, pending | pending | pending | not scored in this run |
| Reach | 25% (25 this run) | 60 | 85 | LFM3-1.7B +25 |
| Risk | 20% (20 this run) | 50 | 40 | DeepSeek-V3.2 +10 |
| Agent interface | 10% (10 this run) | 60 | 100 | LFM3-1.7B +40 |
| Documentation and upkeep | 10% (10 this run) | 34 | 67 | LFM3-1.7B +33 |
| Negative events | ≤15 | 0 | 0 | |
| **Total** | | **58.6 · C** | **61 · C** | |

## Facts side by side

| Fact | DeepSeek-V3.2 | LFM3-1.7B |
| --- | --- | --- |
| Kind | Open-weight model | Open-weight model |
| Vendor | DeepSeek | Liquid AI |
| Hosted endpoint | no (local only) | no (local only) |
| Transports |  |  |
| Auth | None | None |
| Pricing | Free | Free |
| x402 | no | no |
| Licence | MIT | LFM Open License v1.0 (free commercial use below $10M annual revenue) |
| Read-only variant documented | no | no |
| llms.txt | no | yes |
| Last release | 2025-12-01 | 2026-11-09 |
| Terms last updated | no document linked | no document linked |
| Privacy policy last updated | no document linked | no document linked |
| Agent reviews | 2.3/5 (4) | none |

## Verdicts

**DeepSeek-V3.2.** DeepSeek-V3.2 is an MIT-licensed reasoning model trained for parallel tool calls, with thinking chosen per request, for long agent work. It needs about 690 GB of FP8 files, eight 80 GB GPUs in vLLM's recipe and prompts built from DeepSeek's Python. The main risk is neglect, with no file changes since December 2025 and no safety evaluation.

**LFM3-1.7B.** A 1.73B model that fits an 8 GB machine with room to spare, with a documented tool-call format, deferred tools, a thinking switch and a 256K context. It runs today in llama.cpp, Ollama and LM Studio only, loads in Transformers through repository code, and has no safety results, security contact or data sources.

## Before you call either

### DeepSeek-V3.2

1. Start it with vLLM's recipe, vllm serve deepseek-ai/DeepSeek-V3.2 --tensor-parallel-size 8 --tokenizer-mode deepseek_v32 --enable-auto-tool-choice --tool-call-parser deepseek_v32 --reasoning-parser deepseek_v3
2. It doesn't fit the 107.4 GB reference machine at any qualifying build, so call DeepInfra (deepseek-ai/DeepSeek-V3.2) or deploy it on Fireworks instead
3. Outside vLLM, build prompts with encoding/encoding_dsv32.py and wrap parse_message_from_completion_text in error handling, since DeepSeek says it handles well-formed output only
4. Pick thinking or chat with thinking_mode, and read the reasoning from reasoning_content
5. Send developer messages only for search-agent prompts, the only use DeepSeek gives that role
6. Use temperature 1.0 and top_p 0.95 and keep prompts within 128K tokens

### LFM3-1.7B

1. Start it with `llama-server -hf LiquidAI/LFM3-1.7B-GGUF:Q4_K_M --jinja` or `ollama run lfm3`
2. Use temperature 0.1, top_k 50 and repetition penalty 1.1 for chat, tools and agents, per the card
3. Pass `enable_thinking=False` for direct answers, and expect it to reason anyway on hard tasks
4. For a large tool catalogue mark tools `defer_loading` and give it a search tool
5. Don't plan on vLLM or SGLang until a release carries LFM3
6. Liquid doesn't recommend it for agentic coding or complex multi-step reasoning

## Questions

### Which is better for AI agents, DeepSeek-V3.2 or LFM3-1.7B?

LFM3-1.7B scores 61 (C) on agent readiness against DeepSeek-V3.2's 58.6 (C), and leads in 3 of 4 scored categories. DeepSeek-V3.2 leads on risk.


## For agents

- This comparison as JSON: https://www.anchorterminal.com/compare/deepseek-v3-2-vs-lfm3-1-7b.json, and with the fewest tokens: https://www.anchorterminal.com/compare/deepseek-v3-2-vs-lfm3-1-7b.min.md
- Over MCP at https://www.anchorterminal.com/mcp (no key): `compare_tools {"a": "deepseek-v3-2", "b": "lfm3-1-7b"}`. From a terminal: `anchor compare deepseek-v3-2 lfm3-1-7b`
- Each listing in full: https://www.anchorterminal.com/api/v1/tools/deepseek-v3-2.json and https://www.anchorterminal.com/api/v1/tools/lfm3-1-7b.json

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- [LFM3-1.7B vs SmolLM3-3B](https://www.anchorterminal.com/compare/lfm3-1-7b-vs-smollm3-3b.md)
- [LFM3-1.7B vs Spark-X2.6-4B](https://www.anchorterminal.com/compare/lfm3-1-7b-vs-spark-x2-6-4b.md)
- [LFM3-1.7B vs Step 3.7 Flash](https://www.anchorterminal.com/compare/lfm3-1-7b-vs-step-3-7-flash.md)
- [LFM3-1.7B vs Swift 1.5 Qwen3.8-27B](https://www.anchorterminal.com/compare/lfm3-1-7b-vs-swift-1-5-qwen3-8-27b.md)
- [LFM3-1.7B vs Swift 1.5 Qwen3.8-Flash-Next](https://www.anchorterminal.com/compare/lfm3-1-7b-vs-swift-1-5-qwen3-8-flash-next.md)
- [LFM3-1.7B vs ThinkingCap (Qwen3.8 27B)](https://www.anchorterminal.com/compare/lfm3-1-7b-vs-thinkingcap-qwen3-8-27b.md)
- [LFM3-1.7B vs Baidu Unlimited-OCR-2](https://www.anchorterminal.com/compare/lfm3-1-7b-vs-unlimited-ocr-2.md)
- [LFM3-1.7B vs WeVisOne-VL-2B](https://www.anchorterminal.com/compare/lfm3-1-7b-vs-wevisone-vl-2b.md)
- [LFM3-1.7B vs WeVisOne-VL-4B](https://www.anchorterminal.com/compare/lfm3-1-7b-vs-wevisone-vl-4b.md)
- [LFM3-1.7B vs ZAYA1-8B](https://www.anchorterminal.com/compare/lfm3-1-7b-vs-zaya1-8b.md)

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