TL;DR for operators Competition is usually sold as the thing that makes agents sharper, more adversarial, and perhaps a little too pleased with themselves. This paper points in a more useful direction: controlled external competition can make agent teams more cooperative internally, but only when it is paired with repeated interaction.
The study places Qwen3 14B, Phi4 reasoning, and Cogito 14B agents into Iterated Prisoner’s Dilemma tournaments under three conditions: repeated interaction only, group competition only, and a combined “super-additive” setup where agents face both team structure and repeated encounters.1 For Qwen3 and Phi4, the combined setting produces the strongest cooperation. Qwen3’s mean cooperation rate rises from 0.22 in repeated interaction and 0.23 in group competition to 0.32 in the combined setting. Phi4 moves more sharply, from 0.21 and 0.13 to 0.43.
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