Mercury 2: Diffusion-Based Model for Real-Time AI Coding

What Mercury 2 Is
Mercury 2 is a diffusion-based AI model that generates tokens in parallel rather than sequentially, using a process that refines output over multiple steps. This approach differs from traditional autoregressive models that decode tokens one by one.
Technical Specifications
- Generation method: Diffusion-based generation instead of sequential token-by-token decoding
- Processing approach: Generates tokens in parallel and refines them over a few steps
- Performance: Claims 1,009 tokens/sec on NVIDIA Blackwell GPUs
- Pricing: $0.25 per 1 million input tokens, $0.75 per 1 million output tokens
- Context window: 128K tokens
- Reasoning capability: Tunable reasoning
- Tool integration: Native tool use with schema-aligned JSON output
- API compatibility: OpenAI API compatible
Target Use Cases
The developers are positioning Mercury 2 for:
- Coding assistants
- Agentic loops (multi-step inference chains)
- Real-time voice systems
- RAG/search pipelines with multi-hop retrieval
📖 Read the full source: r/LocalLLaMA
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