Retell LLM is our in-house LLM, built for decisions that are made during a live call. It starts its reply right away and keeps reasoning as it speaks, so your agent gets the low latency of a fast model and the intelligence of a reasoning model on every turn.
Not to scale. Model-only times; speech recognition and synthesis add to both.
126ms
Time to first token
72ms
Time to first meaningful chunk
200
Reasoning tokens mid-reply, on average
94.4
Average score on the Retell vCX Benchmark, #1 on the board
45% lower
Cost than models with similar vCX scores, at $0.035 per minute
Time to first meaningful chunk is the median time to the first full sentence over live traffic on the Retell vCX Benchmark, which also gives the score and rankings.
The problem
Phone calls need a different kind of model
A great phone agent has to reason well, sound like a person and answer quickly, all on the same turn.
Retell agents book appointments, run intake, make sales calls, answer front desks, handle support and collect payments. Each agent follows a script its builder wrote, with long, detailed steps, rules and tools. On every turn the model has to know where it is in that script, make sense of a messy transcript, and decide whether to ask, answer or act.
1OpenAI. Learning to reason with LLMs. 2024.2Snell et al. Scaling LLM test-time compute optimally can be more effective than scaling model parameters. 2024.3DeepSeek-AI. DeepSeek-R1: Incentivizing reasoning capability in LLMs via reinforcement learning. 2025.Most models get smarter by thinking longer.1,2,3 That may work well enough in a chat window, but on a phone call, every second of thinking is a second of silence.
Reasoning
Follows long scripts, recovers when callers leave them, and calls the right tool at the right time.
Natural speech
Talks the way people talk, in the caller's language.
Speed
Starts answering quickly once the caller finishes.
Cost
Stays affordable at contact-center volume.
How it works
It thinks while it talks
We designed a new model that interleaves speaking and reasoning on every turn.
The model writes the first sentence of its reply right away. While that sentence is playing, it reasons silently: which rule in the script applies, what is still missing, and whether it is time to call a tool. Then it continues the reply, grounded in that reasoning. The caller hears one unbroken answer, and the reasoning is never spoken.
It is built for the contact center, where every turn runs on a long script, real tools and strict rules.
Training
Rewarded for what callers notice
Retell LLM is trained in three stages on curated production conversations. The last, reinforcement learning, rewards the four things a call-center model must get right: correct tool calls, no hallucination, instruction following and sounding natural.
- Stage 1
Supervised fine-tuning (SFT)
Learns the interleaved format: a spoken lead, then reasoning, then the rest of the reply.
- Stage 2
Preference tuning (DPO)
Targets the errors SFT leaves behind, using preference pairs ranked by a panel of LLM judges.
- Stage 3
Reinforcement learning (RL)
Optimizes directly for call quality with Dr. GRPO and DAPO on call-specific rewards.
Four rewards for a good call turn
For each moment in a call, the model writes eight responses and every one is scored. Code and judges decide whether a turn is right; two auxiliary rewards shape how it sounds and how long it thinks.
Code harness. Calls to tools outside the agent's toolbox, malformed output and other critical errors are caught in code before any judge sees it.
Correctness. Multiple judge models grade tool-call correctness, hallucination and instruction following, and their verdicts are pooled into a single reward signal.
Naturalness. Naturalness is easier to compare than to score. A judge ranks all eight rollouts side by side against a rubric, which provides more useful insight than grading each alone.
Reasoning length. Shortens reasoning without losing intelligence. Long reasoning is penalized only on prompts the model already solves reliably, meaning it stays brief where it can and keeps thinking where it must.
Keeping the lead alive
Midway through RL, the model drifted back to think-first: an empty lead, then reasoning, then the reply. The caller was back to silence. We call this lead collapse. The choice to speak or stay silent is made at the very first token, which makes it effectively a classification at that position, so we added a lead bonus on that token alone. The bonus carries an inherent trade-off between latency and accuracy: speaking sooner means committing to the lead before any reasoning has happened.
Bonus on the first token only
Credit assignment
Each reward trains only the tokens it depends on. Naturalness skips tool-call tokens, so a well-formed tool call is never judged on how it sounds, but it still trains the reasoning, since what the model thinks shapes how the reply sounds. The lead bonus is applied only to the first token.
Which tokens each reward trains, on one example turn
Gains compound across training stages
Average score after each training stage
Finding the learning signal
Before RL, we measured pass@k: how often at least one of k sampled answers passes. On 200 conversations from our instruction-following eval, the model passed 77.5% of the time with one try, 89.5% with four and 93.0% with eight. The right answer was often already within reach; it just wasn't the model's first answer. Moving it there is RL's job.
4Yu et al. DAPO: An open-source LLM reinforcement learning system at scale. 2025. See dynamic sampling.Group-relative RL only learns from disagreement: when all eight rollouts pass, or all fail, every advantage is zero and the prompt contributes no gradient.4 We therefore pre-filter the training set to keep the difficult cases, where the model is still inconsistent, so RL spends its compute on turns where it can actually improve.
Inference optimization
Fast, stall-free streaming
Retell LLM reasons while its first sentence is still playing, which means the rest of the reply has to be ready before that sentence ends. Our inference stack is built for exactly that: fast tokens and no stalls.
No stalls. Under realistic load, about one reply in three used to stall, with more than 100 ms between two tokens: whenever a GPU read in a new prompt, however short, every reply streaming on it froze. Running every step on CUDA graphs, and reading long prompts in as small slices, reduced stalled replies from 34% to 0.3%.
Call-aware routing. Every turn resends the whole conversation, so we keep each call on the GPUs that already hold it in cache, using session affinity. That nearly doubles the share of prompt tokens served from cache, from 36% to 69%, ensuring that each turn has less to read in and replies start sooner.
Fast decoding. Speculative decoding gets about four tokens out of each pass of the full model, and fused, overlapped kernels trim the fixed cost of every step. Under heavy load, Retell LLM takes a median of 3.2 ms per token, more than 300 tokens a second for every reply.
What callers hear
When people talk, a pause of around 400 ms between sentences sounds natural. Retell LLM's pause between its first sentence and the rest of the reply almost always stays below that, so callers hear a natural reply instead of a model stopping to think.
99.98%
Of turns pause for less than 400 ms after the first sentence
3.2 ms
Median time per token under heavy load
Measured under sustained heavy load. Pauses are estimated from the length of the first sentence at a typical speaking rate.
How we measured: one test server replaying realistic multi-turn call traffic under sustained heavy load. Times are model time only and exclude network, speech recognition and speech synthesis. Before-and-after comparisons replay the same traffic.
Benchmarks
Built for calls, measured on public benchmarks
We test Retell LLM on public agent, instruction-following and reasoning benchmarks it never trained on.
We also rank it on the Retell vCX benchmark, which scores tool calling, hallucination, instruction following and natural phone speech on contexts drawn from real calls.
The highest average score on the vCX benchmark
Average score on the Retell vCX benchmark against median time to first sentence
Retell LLM on public benchmarks
Score out of 100 on each benchmark, with the same greedy decoding on every run
What each benchmark tests
- τ²-bench airline and retail
- Serving a simulated customer with tools and a policy to follow
- Multi-IF
- Following instructions over three turns in eight languages
- GPQA Diamond
- Graduate-level biology, chemistry and physics questions written to resist web search
Each benchmark keeps its own published prompts, tools and scoring. Only the model call is replaced.
Try Retell LLM on your agents
Retell LLM is available in Retell starting November 19. Select it as your agent's model and compare it with any other model on your own calls.
Credits
Contributors
Damian Li* · Jerry Cheung* · Hui Huang · Zexia Zhang
*Equal contribution
Citation
Please cite this work as:
Retell Labs, “Retell LLM: Interleaved Reasoning for Real-Time Voice Agents”, Retell AI Blog, November 2026.
Or use the BibTeX citation:
@misc{retell2026retellllm,
title = {Retell LLM: Interleaved Reasoning for Real-Time Voice Agents},
author = {{Retell Labs}},
year = {2026},
month = nov,
howpublished = {Retell AI Blog},
url = {https://www.retellai.com/}
}