diff --git a/specs/v2/session.md b/specs/v2/session.md
index f3c4211c6c..396c807f90 100644
--- a/specs/v2/session.md
+++ b/specs/v2/session.md
@@ -208,7 +208,7 @@ The first V2 `apply_patch` leaf supports add, update, and delete hunks. It parse
 ### Current Runner Follow-Ups
 
 - Keep eager structured local-tool settlement: durably record each complete call, start its child execution immediately, await all started settlements after provider-turn consumption, persist every result, and reload history once before continuation.
-- Buffer or coalesce streamed deltas before rewriting growing assistant projections.
+- Buffer or coalesce streamed deltas before rewriting growing assistant projections; see [Stream Delta Coalescing PRD](./stream-delta-coalescing.md).
 - Revisit additional covering indexes as larger-history query shapes become concrete.
 - Design any global multi-Session event stream separately; the finite history API deliberately reads one authorized Session aggregate and does not change global Event publication.
 - Decide whether UI-facing Session subscriptions should optionally interleave ephemeral deltas while connected without advancing the durable cursor.
diff --git a/specs/v2/stream-delta-coalescing.md b/specs/v2/stream-delta-coalescing.md
new file mode 100644
index 0000000000..5e88fe7fa7
--- /dev/null
+++ b/specs/v2/stream-delta-coalescing.md
@@ -0,0 +1,238 @@
+# Stream Delta Coalescing PRD
+
+Status: Draft
+
+## Summary
+
+OpenCode should coalesce provider text and reasoning stream fragments before
+publishing UI-facing live delta events. Some providers emit very small,
+high-frequency `text-delta` and `reasoning-delta` chunks. Forwarding each chunk
+as its own Session event keeps the transcript semantically correct, but it burns
+CPU in the server, SDK client, app/TUI reducers, and renderer for no product
+benefit. The product should preserve the feeling of live typing while reducing
+publication and render cadence to a bounded, observable rate.
+
+The core change is to batch live-only text-like deltas per active content block
+and flush them on time, size, or semantic boundaries. Durable replay boundaries
+and final full-value events stay unchanged.
+
+## Problem
+
+Current stream handling forwards tiny provider fragments nearly one-for-one:
+
+- LLM providers emit raw `text-delta` and `reasoning-delta` events.
+- The legacy Session processor appends the text to in-memory part state and
+  immediately publishes `message.part.delta` through `Session.updatePartDelta`.
+- V2 exposes live-only `session.next.text.delta` and
+  `session.next.reasoning.delta`; replayable `*.ended` events carry the final
+  full text.
+- App, TUI, ACP, SDK, and command-run consumers often reduce or render every
+  delta event.
+
+For providers that stream larger chunks this feels fine. For providers that emit
+many tiny fragments, the same logical answer can create much higher event rate,
+more websocket/SSE churn, more reducer work, more Solid/DOM/OpenTUI updates, and
+lower perceived FPS.
+
+## Goals
+
+- Cap UI-facing text/reasoning delta cadence without losing the live streaming
+  feel.
+- Preserve existing event schemas and client compatibility.
+- Preserve exact transcript text, order, metadata boundaries, and replay
+  behavior.
+- Reduce event count and renderer work for tiny-fragment providers by at least
+  80% in bursty cases.
+- Keep first-visible-output latency low enough that sessions still feel alive.
+- Make coalescing observable and safe to tune per surface.
+
+## Non-goals
+
+- Do not ask providers to change their streaming behavior.
+- Do not make live deltas durable or replayable.
+- Do not change final assistant text/reasoning content.
+- Do not delay tool calls, permission prompts, step finish, errors, or
+  interruption settlement behind text batching.
+- Do not remove client-side rendering optimizations; server coalescing is the
+  first layer, not the only possible layer.
+- Do not redesign the typing animation or markdown renderer in this slice.
+
+## Product Requirements
+
+### P0: Semantics and compatibility
+
+- Existing event names and payload shapes remain valid:
+  - legacy `message.part.delta`
+  - V2 `session.next.text.delta`
+  - V2 `session.next.reasoning.delta`
+- A coalesced delta is only the concatenation of adjacent deltas for the same
+  Session, assistant message, content block, and field.
+- Event order relative to non-coalesced events is preserved. Before publishing a
+  boundary event for a block, pending text for that block must be flushed or
+  represented by the boundary's full-value event.
+- `session.next.text.ended` and `session.next.reasoning.ended` remain the
+  replayable source of final text for V2. Legacy `message.part.updated`
+  continues to carry the full final part.
+- Reconnect and history replay behavior does not depend on receiving live
+  deltas.
+
+### P0: Responsiveness
+
+- First visible text/reasoning for a new block should normally publish within
+  75 ms of the first provider delta.
+- While a block is actively receiving tiny deltas, publish at no more than about
+  30 deltas per second per active block by default.
+- Flush earlier when a pending buffer reaches a size threshold, initially 512 to
+  1024 UTF-16 code units.
+- Flush immediately before:
+  - `text-end` / `reasoning-end`
+  - tool input start or tool call publication for the same assistant turn
+  - step finish or step failure
+  - stream interruption, cancellation, or provider error
+  - session drain cleanup
+
+### P1: Adaptive behavior
+
+- Large provider chunks should pass through with little or no additional delay.
+- Reasoning may use the same default cadence as text initially, but the design
+  should allow a slower reasoning cadence later when reasoning is collapsed or
+  visually deprioritized.
+- A Session with multiple active text/reasoning blocks coalesces each block
+  independently so one block does not starve another.
+- Coalescing should be runtime-tunable without schema changes.
+
+### P1: Observability
+
+Add counters and histograms around coalescing:
+
+- raw delta count and bytes by provider/model/event kind
+- published delta count and bytes by event kind
+- coalesced ratio by provider/model/event kind
+- flush reason: `first`, `time`, `size`, `boundary`, `shutdown`
+- time spent buffered before publication
+- maximum pending buffer size per active Session
+
+These metrics should make it possible to compare provider behavior and verify
+that UI-facing event rate stays bounded.
+
+## Proposed Design
+
+### Coalesce at the server stream-publication boundary
+
+The preferred boundary is after provider parsing has produced canonical LLM
+stream events and before those events are published to Session subscribers.
+Provider adapters should continue emitting canonical raw deltas. Clients should
+continue consuming the existing Session event schema. The coalescer sits in the
+Session processing path so every client benefits.
+
+For legacy runtime, this means replacing immediate `Session.updatePartDelta(...)`
+publication for `text-delta` and `reasoning-delta` with an append to a per-part
+coalescer. The processor still updates its in-memory accumulated part text
+immediately so final `message.part.updated` content is correct.
+
+For V2 runtime, apply the same policy to live-only
+`session.next.text.delta` and `session.next.reasoning.delta`. The comments in
+`packages/schema/src/session-event.ts` already define these deltas as live-only,
+with `*.ended` as the replayable full-value boundary, so batching them does not
+change durable replay semantics.
+
+### Buffer key
+
+Each pending buffer is keyed by the minimum identity needed to preserve order:
+
+```text
+sessionID
+assistantMessageID
+part/content-block ID
+field/event kind: text or reasoning
+```
+
+The buffer stores:
+
+```text
+text: accumulated delta string
+firstDeltaAt
+lastDeltaAt
+flushTimer
+sequence guard for stale timers
+latest provider metadata only when the target event supports it
+```
+
+### Flush policy
+
+Use three flush triggers:
+
+1. First-delta timer: schedule the first flush for a new buffer at about 50 ms.
+2. Cadence timer: after each flush, schedule the next flush at about 33 ms while
+   more deltas arrive.
+3. Size threshold: flush immediately when the pending text reaches 512 to 1024
+   UTF-16 code units.
+
+Boundary events synchronously drain relevant buffers before they publish. Global
+cleanup drains every pending buffer for that Session drain.
+
+### Client-side follow-up
+
+Server coalescing should be enough to solve the high event-rate problem for all
+clients. If app or TUI FPS is still poor after server batching, add a second
+client-side render scheduler that folds multiple already-received deltas into
+one state update per animation frame. That follow-up should not replace server
+coalescing because it would still leave network, decode, and reducer overhead in
+place.
+
+## Edge Cases
+
+- **Out-of-order timers:** Flush timers must be guarded so an old timer cannot
+  publish an already-drained buffer.
+- **Interrupted streams:** Drain pending buffers during cleanup before surfacing
+  interruption or provider failure status.
+- **Provider metadata on deltas:** Metadata updates that only affect final part
+  state should keep updating the in-memory part immediately; boundary full-value
+  events publish the final metadata. Do not invent metadata fields on delta
+  schemas that do not currently have them.
+- **Unicode:** Coalescing concatenates provider strings exactly in receipt order.
+  It must not trim, normalize, or split by grapheme.
+- **Backpressure:** A long blocked subscriber should not grow unbounded per-block
+  buffers. Size threshold and Session cleanup provide the first bound; add a
+  hard cap if instrumentation shows pathological growth.
+- **Tool calls:** Text/reasoning buffers must flush before tool events that make
+  the assistant turn appear to move on to another phase.
+
+## Rollout Plan
+
+1. Add instrumentation around raw and published text/reasoning deltas without
+   changing behavior.
+2. Implement the shared coalescer behind a runtime flag, default off locally if
+   needed for verification.
+3. Enable it for legacy `message.part.delta` publication and add unit tests for
+   time, size, boundary, and interruption flushes.
+4. Enable it for V2 live-only deltas and add reducer/replay tests proving final
+   `*.ended` replay remains sufficient.
+5. Turn the flag on by default once event-rate metrics and interactive smoke
+   tests show bounded cadence and unchanged final output.
+6. Remove the flag after one release cycle if no compatibility issue appears.
+
+## Acceptance Criteria
+
+- A synthetic stream of 1,000 one-character text deltas publishes at least 80%
+  fewer UI-facing delta events while final text remains byte-for-byte identical.
+- The same synthetic stream emits first visible text within 75 ms in local tests.
+- A stream that ends immediately after a few tiny deltas publishes the full text
+  by the end boundary without waiting for the timer.
+- Reasoning deltas follow the same order and final-value guarantees as text.
+- Tool calls, permission prompts, failures, and step completion are not delayed
+  behind a pending text/reasoning timer.
+- Existing SDK-generated event types do not change.
+- History/replay tests pass without relying on live deltas.
+- Interactive TUI/app smoke tests show smoother output for tiny-fragment streams
+  and no visibly worse responsiveness for normal streams.
+
+## Open Questions
+
+- Should default cadence be 30 Hz, 20 Hz, or adaptive based on measured renderer
+  cost?
+- Should reasoning use a slower default cadence when hidden or collapsed?
+- Should coalescing thresholds be configured globally, per provider/model, or
+  only through runtime flags?
+- Where should long-term metrics live: runtime logs, existing stats, or a
+  dedicated performance counter surface?