LM Studio
A comprehensive walkthrough for configuring LM Studio to run AI models locally alongside Sypha.
Configuring LM Studio for Sypha
Execute AI models on your local machine by integrating LM Studio with Sypha.
Requirements
- A Windows, macOS, or Linux system with AVX2 support
- VS Code with Sypha extension installed
Configuration Process
1. Get LM Studio Installed
- Navigate to lmstudio.ai
- Obtain and install the version compatible with your system
.png)
2. Open LM Studio
- Launch the application you just installed
- The left sidebar contains four tabs: Chat, Developer (this is where the server launches from), My Models (your local model storage), Discover (for browsing available models)
.png)
3. Obtain a Model
- Explore the "Discover" section
- Choose and initiate download for your desired model
- Allow the download process to finish

4. Activate the Server
- Switch to the "Developer" tab
- Flip the server toggle to the "Running" position
- Important: The server operates at
http://localhost:1234

5. Set Up Sypha
- Launch VS Code
- Access Sypha's settings icon
- Choose "LM Studio" as your API provider
- Pick your model from the dropdown list

Optimal Model Selection and Configuration
To achieve the best results with Sypha, we recommend Qwen3 Coder 30B A3B Instruct. This model provides excellent coding capabilities and dependable tool integration.
Essential Configuration Options
Once you've loaded your model within the Developer tab, adjust these parameters:
- Context Length: Configure to 262,144 (this is the model's upper limit)
- KV Cache Quantization: Keep this disabled (essential for maintaining stable performance)
- Flash Attention: Turn this on if your hardware supports it (enhances speed)
Selecting Quantization Level
Select quantization according to your available RAM:
- 32GB RAM: Opt for 4-bit quantization (~17GB download)
- 64GB RAM: Choose 8-bit quantization (~32GB download) for enhanced quality
- 128GB+ RAM: Explore full precision or more substantial models
Choosing Model Format
- Mac (Apple Silicon): Select MLX format for enhanced performance
- Windows/Linux: Choose GGUF format
Activating Compact Prompts
To maximize performance when using local models, activate compact prompts through Sypha's settings. This feature decreases prompt size by 90% while preserving essential functionality.
Go to Sypha Settings → Features → Use Compact Prompt and enable it.
Key Points to Remember
- Launch LM Studio prior to connecting it with Sypha
- Maintain LM Studio as a background process
- Initial model downloads can require several minutes based on file size
- Downloaded models persist on your local system
Resolving Common Issues
- If Sypha cannot establish connection to LM Studio:
- Confirm LM Studio server is active (verify in Developer tab)
- Make certain a model has been loaded
- Validate that your system satisfies hardware requirements
MCP Transport Mechanisms
Discover the two core transport methods enabling communication between Sypha and MCP servers: Standard Input/Output (STDIO) and Server-Sent Events (SSE). Both offer unique features, benefits, and ideal applications.
Ollama
A comprehensive walkthrough for configuring Ollama to run AI models locally alongside Sypha.