The New Rules of Context Engineering for Claude 5 Generation Models

The New Rules of Context Engineering for Claude 5 Generation Models

I recently removed over 80% of the system prompt for Claude Code with models like Claude Opus 5 and Claude Fable 5, finding no loss in performance. We learned that newer models require less rigid instruction and can rely on their own judgment. Instead of listing rules and examples, we now focus on designing clear interfaces and using progressive disclosure to load context only when needed.

We found that we were overconstraining Claude Code, both through our system prompt and in our CLAUDE.md files and skills.
  1. throwatdem12311

    This kind of stuff just makes me think nobody has any clue how these things work.

    Why do I need a system prompt at all?

    Why do I need another black box AIs to review the code of the black box AI why can’t these things get code right the first time.

    Why is the best “coding model” in the world still making up APIs that don’t exist and do seemingly random unreleased changes that it wasn’t prompted for.

    Why do these models (supposedly) keep getting “better” (on benchmarks) but continue to degrade in output quality while grtting more expensive for actual work?

    I use Claude every day but I’m getting disillusioned by the so-called “progress”. If my employer wasn’t paying for my access I would not pay for any of these things. Don’t even get me started on the absolute brainrot inflicted on people that I work with from depending on these things every day, it’s depressing.

  2. mycentstoo

    We should design a specific language to make sure that we can encode the exact requirements that we want. Something that has a limited set of keywords that are explicit. Wait a minute...

  3. firasd

    I've always thought that extensive throat-clearing and prefixing the Treaties of Westphalia-length instructions into the context window was unnecessarily baroque when you can just talk to the agent.

    I guess part of it is also that I don't mind doing 'hand-edits' like for example LLMs love to say "// so and so removed" I just go and remove that manually later rather than being like "don't comment about what you removed!11" cause you're really fighting deep grooves in the model's behavior at that point.

    But I also have a hands-on human-in-the-loop working style so I guess maybe for people who just want to say "implement all open features in github issues" and walk away maybe there needs to be more of all this CLAUDE.md stuff

    However I suspect there was always some gearhead type attraction to setting up detailed harness configs that may be unnecessary and more like hobbyist tinkering.

  4. threecheese

    They are imo over-relying on Claude automemory here, which is terrible at contextualizing memory access and makes huge leaps that don’t make sense - except when it’s actually useful, which makes the problem even worse for an operator who can’t see the thinking process anymore.

    Yes, I worked on a related project, no I don’t want you to use those memories to make assumptions which emerge as decisions that I didn’t want. With reasoning traces hidden, I am sometimes not even sure if it used those memories or just independently decided that PCI-DSS subsection-whatever is somehow relevant to this PR that has the word “credit”.

    There is no way for me to fully configure memory preferences at a granularity which would be useful, and so I continue to use context files (and other tools, sometimes) to ensure the right memories are stored and surfaced at the right times.

    There’s a lot of room for agent memory improvement across the ecosystem, and I don’t think the LLM providers should try to own this vertical slice. This will never happen though, because it makes us “sticky”.

    Or maybe I’m holding it wrong.

  5. Fordec

    This all strikes me as an effort to move tailoring the harness out of the easily transferable .md file into specific Anthropic tooling to increase lock in.

    I've been running Opus 5 today and it's already done accidental deletions, made far more mistakes and worked around deliberate hook controls than previous Opus versions combined. Also it looks like token usage is up as it fails at the task the first time around much more frequently than 4.8.

  6. fl0ki

    > Keep your CLAUDE.md lightweight and briefly describe what your repo is for [...] Avoid stating ‘the obvious’ things Claude should know by looking at your file system or your repo.

    Most people generate CLAUDE.md with /init at least at first, so it gets filled only with the superficial top level things that Claude already noticed during that first run. By this logic, shouldn't CLAUDE.md contain the exact opposite of what /init currently includes?

  7. espeed

    Claude Code is deleting your context history on a timer. I wanted to build a searchable index of my context history, and tonight I discovered, "The default retention is roughly 30–45 days. Anything older gets removed automatically." https://code.claude.com/docs/en/data-usage#data-retention This is nuts. Anthropic should not be deleting your data on your own device.

  8. EternalFury

    Everyone is starting to express themselves as LLMs. I fell prey to having LLMs “copyedit” some of my words when I wanted to make sure I got my point across, but I am trying to stop that. Online in particular, I see a style which I call “probabilistic English”, infused with odd hip expressions.

    I thought it was only a problem for English communication, for which we have little care, but the same applies to code now. More and more code appears to be “probabilistic code”, homogenized to what is most common in the data LLMs were trained on.

  9. orbital-decay

    Most of this article seems like... common sense? Not sure how it's related to the latest generation in particular. I usually find Anthropic's advice on how to prompt their own models deviating from what I see in practice, which is puzzling. Their system prompt was always way too bloated and they kept it as a huge piece for some reason, instead of breaking up into parts. Shouldn't they know better? I wonder if they looked at Pi performing great with minimal amount of distractors in the context and cut their prompt down too, pretending they found something new in their recent models.

    > Earlier Claude models could sometimes need repeated instructions or be more likely to listen to instructions at the end of their context window than at the start.

    This seems to imply they solved serial position biases like lost-in-the-middle and recency/primacy? Sounds dubious. Labs started claiming this early 2025 and some benchmarks agree, but every time I run an eval on real use cases it's clearly there, especially at longer contexts.

  10. sothatsit

    Similarly, I recently disabled auto-memory in Claude Code, and performance improved.

    Managing the context that agents have available to them is far too important to leave to the agents themselves. Agents tend to write far too much into their memory, they are terrible at trimming it down, and their choice of what to include is very poor. I have had much more predictable results by disabling auto-memory and actively shaping my CLAUDE.md, skills, and documentation instead.

    Maybe one day agents will be able to manage their own context, but that day is not today.

More from this day

2026-07-25