Orca 1 taught small models to reason step-by-step. Orca 2 asks a harder question: what if chain-of-thought isn't always the right strategy? Cautious reasoning teaches the model to select the optimal approach per task — direct answer, step-by-step, recall from memory, or delegation — matching or beating models 5× its size on reasoning benchmarks.
Orca 2 is released under the Microsoft Research License, which permits research and evaluation but restricts commercial use. Unlike Apache 2.0 models, you cannot deploy Orca 2 in a revenue-generating product or customer-facing service without separate licensing. For commercial deployments that want Orca-style reasoning, use Nous Hermes 2 (Apache 2.0) instead.
Orca 1 established that training on GPT-4's reasoning traces — not just its answers — produces significantly better generalisation at small model sizes. The finding was clean: explanation tuning beats imitation learning, even at a 5× parameter disadvantage.
Orca 2 starts from a different observation: GPT-4 doesn't use chain-of-thought reasoning on every task. When you ask it what the capital of France is, it doesn't laboriously reason through the problem — it just answers. When you ask it to solve a complex math proof, it does reason step-by-step. The reasoning strategy is task-dependent.
Small models trained with standard explanation tuning tend to over-apply chain-of-thought — producing verbose reasoning traces even for tasks where a direct answer would be better. This wastes tokens, slows inference, and can actually reduce accuracy on recall tasks where the model second-guesses itself mid-trace. Orca 2's solution: teach the model to select the right strategy first.
| Dimension | Orca 1 | Orca 2 |
|---|---|---|
| Core innovation | Train on reasoning traces, not just answers | Train the model to select which reasoning strategy to use |
| Teacher model | GPT-4 only | GPT-4 (with strategy-selection augmentation) |
| Base model | LLaMA 1 (13B) | Llama 2 (7B and 13B) |
| Training approach | Single reasoning style (chain-of-thought) | Multiple strategies: direct, CoT, recall, delegation |
| Efficiency | Always verbose reasoning traces | Strategy-appropriate verbosity — concise when possible |
| License | LLaMA 1 non-commercial | Microsoft Research License (broader, still non-commercial) |
| Ollama availability | Unofficial/community only | ollama run orca2 — official support |
Orca 2 is trained to recognise which of four reasoning strategies is appropriate for a given input, and to apply that strategy rather than defaulting to chain-of-thought for everything.
For tasks where the answer is unambiguous and reasoning adds no value. Used when overthinking would introduce errors.
For factual lookups where the answer exists in training data as a stored fact. No derivation needed.
For genuinely complex multi-step problems where intermediate reasoning steps are necessary for correctness.
For tasks outside the model's reliable competence — acknowledge the limit, suggest alternatives or request clarification.
Counter-intuitively, chain-of-thought can reduce accuracy on recall tasks. If a model knows that Paris is the capital of France, but it's been trained to always produce reasoning traces, it might generate intermediate reasoning steps like "France is a European country, its government is located in..." that introduce opportunities for error. Direct retrieval is more reliable for high-confidence factual recall. Orca 2's cautious reasoning framework explicitly addresses this failure mode.
↑ This routing happens implicitly — the model learns to recognise task type from the training signal, not through an explicit classification step at inference time.
Orca 2's paper benchmarks it primarily against AGIEval (reasoning and problem solving), BigBench Hard (complex reasoning), and several academic task suites. The 13B variant is the flagship, though the 7B shows surprisingly strong results for its size.
| Model | Params | AGIEval | BigBench Hard | MT-Bench | MMLU |
|---|---|---|---|---|---|
| GPT-4 | Unknown | ~87% | ~89% | 9.1/10 | 86.4% |
| ChatGPT (GPT-3.5) | Unknown | ~61% | ~70% | 7.94/10 | 70.0% |
| Orca 2 13B | 13B | ~65% | ~71% | 7.2/10 | 60.4% |
| Orca 2 7B | 7B | ~54% | ~63% | 6.2/10 | 56.0% |
| Orca 1 13B | 13B | ~54% | ~63% | N/A | N/A |
| Llama 2 Chat 13B | 13B | ~45% | ~41% | 6.27/10 | 53.9% |
| Llama 2 Chat 70B | 70B | ~54% | ~51% | 6.27/10 | 63.0% |
| Nous Hermes 2 13B | 13B | ~58% | N/A | 7.0/10 | 59.1% |
Orca 2 13B matches or exceeds Llama 2 Chat 70B on AGIEval and BigBench Hard — models with more than 5× the parameters. This is the paper's headline claim, and it holds up on the specific benchmarks tested. It does not hold universally: Llama 2 70B outperforms Orca 2 13B on general conversation quality (MT-Bench) and creative tasks. The advantage is specific to structured reasoning.
Surprisingly capable for its size. Reasonable reasoning benchmark scores, fits comfortably on consumer hardware with INT4 quantisation (5–6GB RAM). Best choice when VRAM is the constraint.
The flagship variant. Matches Llama 2 Chat 70B on reasoning benchmarks. Requires 8–10GB RAM with INT4 quantisation. This is what most evaluations refer to when citing Orca 2 results.
Orca 2 has official Ollama support, making it the easiest Orca variant to run locally for research and experimentation.
# Pull and run Orca 2 (13B by default) ollama run orca2 # Explicitly select 7B for lower RAM usage ollama run orca2:7b # 13B variant explicitly ollama run orca2:13b
Orca 2 7B: 5–6GB RAM recommended (INT4).
Runs on most modern laptops with 8GB unified memory.
Orca 2 13B: 8–10GB RAM recommended.
Comfortable on 16GB systems; possible on 8GB with swap
at reduced speed. See the
deployment quickstart
for platform-specific setup.
Orca 2 uses the standard ChatML format, making it straightforward to integrate with any OpenAI-compatible library.
<|im_start|>system You are Orca, an AI language model created by Microsoft. You are a helpful assistant. <|im_end|> <|im_start|>user {user_message} <|im_end|> <|im_start|>assistant
# For reasoning tasks — encourage explicit strategy selection You are Orca, a helpful AI assistant. Before answering, identify whether this question requires step-by-step reasoning, direct recall, or a simpler approach. Use the appropriate strategy rather than always showing your work. # For structured analysis tasks You are Orca, a helpful AI assistant. For complex problems, break them into clear sub-steps and verify each before proceeding. For simple factual questions, answer directly without unnecessary elaboration. # For educational use — always show reasoning You are Orca, a helpful AI assistant working as a tutor. Always explain your reasoning step-by-step, even for simple problems, so the student can understand the method.
Unlike an agent framework where you'd explicitly route to different reasoning modules, Orca 2's strategy selection is baked into the model weights during training. The model implicitly classifies the task type and generates output appropriate to that type — you don't need to build routing logic yourself. The system prompt can nudge this behaviour but doesn't control it absolutely.
import ollama # Simple reasoning query response = ollama.chat( model='orca2:13b', messages=[ { 'role': 'system', 'content': 'You are Orca, a helpful AI assistant. Select the appropriate reasoning strategy for each task.' }, { 'role': 'user', 'content': 'A company has 480 employees. After a merger, the workforce grows by 35% then shrinks by 20%. What is the final headcount?' } ] ) print(response['message']['content'])
| Use case | Recommendation | Reason |
|---|---|---|
| Research into reasoning strategies | Orca 2 ✓ | Canonical reference for cautious reasoning methodology |
| Structured analysis, math, logic | Orca 2 ✓ | Purpose-built for this; best 13B results on these tasks |
| Commercial deployment | Nous Hermes 2 | Apache 2.0; similar reasoning quality; fully commercial |
| General conversation / chatbot | OpenChat 3.5 | Better MT-Bench scores; more naturally conversational |
| Long document processing | Llama 3.1 8B Instruct | 128K context vs 4K — no comparison for document tasks |
| Best current reasoning model | WizardLM 2 | More recent, larger context, stronger overall benchmarks |