Typewriter vs Editor: Mercury 2 Reinvents LLMs with Diffusion — 5x Faster Reasoning, 4x Cheaper

Inception Labs launches Mercury 2 — the world's first reasoning Diffusion LLM. Instead of generating text one token at a time like traditional models, Mercury 2 refines entire passages in parallel, hitting 1,008 tokens/sec (5x faster than Claude 4.5 Haiku) at 1/4 the price. Backed by Andrew Ng, Karpathy, and Eric Schmidt.