Headroom

Headroom is a context optimization layer for large language model applications that compresses tool outputs, database results, file reads, and retrieval-augmented generation results before they reach the model. It applies different compression techniques depending on content type, such as statistical analysis for JSON arrays, AST-aware compression for source code, and intelligent filtering for logs and search results. The compression is designed to preserve meaningful information while reducing token count, allowing models to process information faster and at lower cost.

Headroom is available as a Python library, a local proxy server, and a Model Context Protocol server. It is developed by headroomlabs-ai and released under the Apache 2.0 license. The tool integrates with various AI frameworks and platforms including LangChain, OpenAI SDK, Anthropic SDK, and Claude Code, and works as a proxy that can be deployed in different configurations including Docker and persistent installs.