From Signal Degradation to Computation Collapse: Uncovering the Two Failure Modes of LLM Quantization

arXiv cs.CL / 4/23/2026

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Key Points

  • The paper analyzes why reducing LLM precision from 4-bit to 2-bit during post-training quantization often causes a sudden “performance cliff.”
  • It identifies two qualitatively different PTQ failure modes: Signal Degradation, driven by cumulative information/precision loss while computation patterns still function, and Computation Collapse, where key components stop working and corrupt signals early in the network.
  • The authors propose mechanism-aware interventions and show that training-free repair can mitigate Signal Degradation.
  • However, the same kind of repair does not work for Computation Collapse, implying that this issue requires structural reconstruction rather than simple compensation.
  • The work provides a systematic diagnostic framework to classify PTQ failures and choose appropriate mitigation strategies.

Abstract

Post-Training Quantization (PTQ) is critical for the efficient deployment of Large Language Models (LLMs). While 4-bit quantization is widely regarded as an optimal trade-off, reducing the precision to 2-bit usually triggers a catastrophic ``performance cliff.'' It remains unclear whether the underlying mechanisms differ fundamentally. Consequently, we conduct a systematic mechanistic analysis, revealing two qualitatively distinct failure modes: Signal Degradation, where the computational patterns remain intact but information precision is impaired by cumulative error; and Computation Collapse, where key components fail to function, preventing correct information processing and destroying the signal in the early layers. Guided by this diagnosis, we conduct mechanism-aware interventions, demonstrating that targeted, training-free repair can mitigate Signal Degradation, but remains ineffective for Computation Collapse. Our findings provide a systematic diagnostic framework for PTQ failures and suggest that addressing Computation Collapse requires structural reconstruction rather than mere compensation.