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+# npm-managed Python runtime design
+
+This spec defines how KTX ships as one visible npm package while still using
+Python for sqlglot, semantic-layer planning, database-agent compute, and local
+embeddings. The goal is a user experience where users install or run only
+`@kaelio/ktx`, and KTX manages its Python runtime automatically when a command
+needs it.
+
+## Goals
+
+KTX must be usable through the npm package `@kaelio/ktx` with a `ktx` binary.
+Users can run KTX without learning about the Python packages that power parts of
+the system.
+
+The first release must support these invocation modes:
+
+- `npx @kaelio/ktx setup demo`
+- `npx @kaelio/ktx sl query ...`
+- `npm install @kaelio/ktx`, followed by `npx ktx ...`
+- `npm install -g @kaelio/ktx`, followed by `ktx ...`
+
+KTX-owned Python code must ship inside the npm package as a bundled wheel. KTX
+doesn't need to publish its own Python code to PyPI for this release.
+
+## Non-goals
+
+This release does not need to provide a public TypeScript SDK split across
+multiple npm packages. The internal workspace package layout can remain useful
+for development, but the public npm surface is a single package.
+
+This release does not need a fully offline install. KTX's own Python wheel is
+bundled, but third-party Python dependencies can come from PyPI through `uv`.
+
+This release does not install local embedding dependencies by default. Local
+embeddings remain lazy because `sentence-transformers`, `torch`, and model
+downloads are large.
+
+## Package model
+
+KTX publishes one public npm package:
+
+```text
+@kaelio/ktx
+```
+
+That package exposes one binary:
+
+```json
+{
+  "bin": {
+    "ktx": "./dist/bin.js"
+  }
+}
+```
+
+The npm package includes these assets:
+
+- Bundled JavaScript CLI output.
+- Packaged demo assets.
+- One KTX-owned Python wheel, for example
+  `python/kaelio_ktx-0.1.0-py3-none-any.whl`.
+- A wheel checksum or runtime manifest that lets the CLI verify the bundled
+  Python payload before installation.
+
+The Python wheel contains the current `semantic_layer` and `ktx_daemon`
+modules. It exposes at least the `ktx-daemon` console script.
+
+## Runtime installation
+
+KTX creates a managed Python runtime only when a command needs Python-backed
+behavior. The runtime lives outside the npm cache so it survives `npx` runs.
+
+The runtime root is platform-specific:
+
+- macOS: `~/Library/Application Support/kaelio/ktx/runtime`
+- Linux: `${XDG_DATA_HOME:-~/.local/share}/kaelio/ktx/runtime`
+- Windows: `%LOCALAPPDATA%/Kaelio/KTX/runtime`
+
+The runtime is versioned by the npm package version. A versioned runtime avoids
+mixing JavaScript and Python code from incompatible releases.
+
+The installer performs these steps:
+
+1. Locate `uv`.
+2. Create a virtual environment under the versioned runtime directory.
+3. Install the bundled KTX wheel into that environment.
+4. Write a runtime manifest with the CLI version, wheel checksum, Python
+   executable, daemon executable, and installed feature set.
+
+For lightweight Python support, the install command uses the bundled wheel's
+default dependency set. For local embeddings, the installer adds the embeddings
+extra only when selected:
+
+```bash
+uv pip install "/path/to/kaelio_ktx-0.1.0-py3-none-any.whl"
+uv pip install "/path/to/kaelio_ktx-0.1.0-py3-none-any.whl[local-embeddings]"
+```
+
+## Feature installation levels
+
+KTX manages Python runtime features in levels so first use stays fast.
+
+`core` includes:
+
+- `sqlglot`
+- `pydantic`
+- `pyyaml`
+- `fastapi`
+- `uvicorn`
+- lightweight daemon dependencies
+
+`local-embeddings` adds:
+
+- `sentence-transformers`
+- `torch`
+- model download support for `all-MiniLM-L6-v2`
+
+Commands that only need semantic-layer SQL generation require `core`.
+Commands that need local embeddings require `local-embeddings`.
+
+## Command behavior
+
+Pure TypeScript commands run without the managed Python runtime.
+
+Python-backed one-shot operations use the managed `ktx-daemon` executable
+directly. Examples include semantic query compilation, semantic validation,
+semantic source generation, and sqlglot-backed table identifier parsing.
+
+Repeated or expensive operations use a managed HTTP daemon. Local embeddings use
+the daemon because loading the model for every one-shot process is too slow.
+
+KTX provides runtime management commands:
+
+```bash
+ktx runtime install
+ktx runtime status
+ktx runtime start
+ktx runtime stop
+ktx runtime doctor
+ktx runtime prune
+```
+
+Normal commands can install the runtime lazily. Runtime commands make that
+behavior inspectable and debuggable.
+
+## Daemon lifecycle
+
+The daemon binds to `127.0.0.1` on an available random port. KTX writes daemon
+state to the runtime manifest or an adjacent state file:
+
+```json
+{
+  "pid": 12345,
+  "port": 58731,
+  "version": "0.1.0",
+  "features": ["core", "local-embeddings"],
+  "startedAt": "2026-05-11T00:00:00Z"
+}
+```
+
+Before reusing a daemon, KTX checks that the process is alive, the port responds
+to `/health`, and the daemon version matches the CLI version. If any check
+fails, KTX treats the daemon as stale and starts a new one.
+
+KTX uses one-shot Python for short operations by default. It starts the daemon
+only when a command benefits from process reuse.
+
+## Interactive and CI behavior
+
+In an interactive terminal, KTX prompts before installing the managed runtime
+for the first time. The prompt states that Python dependencies will be
+downloaded.
+
+With `--yes`, KTX installs the required runtime features without prompting.
+
+With `--no-input`, KTX fails if a required runtime feature is missing and no
+explicit auto-install flag is present. The error prints the exact command to
+prepare the runtime.
+
+For local embeddings, KTX prompts separately because the dependency and model
+downloads are larger than the core runtime.
+
+## Error handling
+
+If `uv` is missing, KTX prints a focused error that explains how to install it
+and how to retry. A later release can add a bundled or downloaded `uv` strategy.
+
+If Python runtime installation fails, KTX preserves install logs in the runtime
+directory and prints the log path.
+
+If the daemon fails to start, KTX prints the captured daemon stdout and stderr
+path. It falls back to one-shot mode only when the requested operation supports
+one-shot execution.
+
+If JavaScript and Python versions don't match, KTX reinstalls the managed
+runtime for the current npm package version.
+
+## Release flow
+
+The release builds the Python wheel before packing npm artifacts. The npm pack
+step includes the wheel as an asset.
+
+Release checks must cover:
+
+1. Clean install of the packed npm package.
+2. `npx` execution of the packed package.
+3. First-run managed runtime install from the bundled wheel.
+4. One-shot semantic-layer query through the managed runtime.
+5. Runtime status and doctor output.
+6. Daemon start, health check, reuse, and stop.
+7. Optional local embeddings smoke in a separate job or opt-in check.
+
+## Open decisions
+
+KTX still needs a final decision on whether `uv` is a hard prerequisite or a
+bootstrap dependency that KTX downloads automatically.
+
+KTX also needs the final Python distribution name. This spec uses
+`kaelio-ktx` as the distribution name and `kaelio_ktx` in wheel filenames.
+
+## Success criteria
+
+Users can run `npx @kaelio/ktx ...` and complete Python-backed KTX operations
+without manually installing a KTX Python package.
+
+Users who install `@kaelio/ktx` locally can run `npx ktx ...` through the local
+project's npm binary resolution.
+
+The first Python-backed command installs only the core runtime. Local embedding
+dependencies install only after the user selects local embeddings or explicitly
+requests the `local-embeddings` runtime feature.
+
+KTX can diagnose and repair stale or mismatched managed runtimes without asking
+users to delete directories manually.