diff --git a/.github/workflows/pr-test-xpu.yml b/.github/workflows/pr-test-xpu.yml
index 115f87f65..109946956 100644
--- a/.github/workflows/pr-test-xpu.yml
+++ b/.github/workflows/pr-test-xpu.yml
@@ -108,7 +108,6 @@ jobs:
           docker exec ci_sglang_xpu cp /sglang-checkout/python/pyproject_xpu.toml /sglang-checkout/python/pyproject.toml
           docker exec -w /sglang-checkout/python ci_sglang_xpu /opt/venv/bin/python3 -m pip install --no-cache-dir . --extra-index-url https://download.pytorch.org/whl/xpu
           docker exec ci_sglang_xpu /opt/venv/bin/python3 -m pip install --no-cache-dir --no-deps xgrammar==0.1.33
-          docker exec ci_sglang_xpu /opt/venv/bin/python3 -m pip install triton-xpu==3.7.1 --index-url https://download.pytorch.org/whl/test/xpu --force-reinstall
           docker exec ci_sglang_xpu /bin/bash -c '/opt/venv/bin/hf auth login --token ${HF_TOKEN}'
 
       - name: Run stage-a tests
@@ -185,15 +184,12 @@ jobs:
           docker exec ci_sglang_xpu cp /sglang-checkout/python/pyproject_xpu.toml /sglang-checkout/python/pyproject.toml
           docker exec -w /sglang-checkout/python ci_sglang_xpu /opt/venv/bin/python3 -m pip install --no-cache-dir . --extra-index-url https://download.pytorch.org/whl/xpu
           docker exec ci_sglang_xpu /opt/venv/bin/python3 -m pip install --no-cache-dir --no-deps xgrammar==0.1.33
-          docker exec ci_sglang_xpu /opt/venv/bin/python3 -m pip install triton-xpu==3.7.1 --index-url https://download.pytorch.org/whl/test/xpu --force-reinstall
           docker exec ci_sglang_xpu /bin/bash -c '/opt/venv/bin/hf auth login --token ${HF_TOKEN}'
 
       - name: Run stage-b tests
         timeout-minutes: 60
         run: |
-          # --continue-on-error: run every file even if an earlier one fails,
-          # so a single regression doesn't hide the status of the rest.
-          docker exec ci_sglang_xpu bash -c "source /opt/venv/bin/activate && cd /sglang-checkout/test && python3 run_suite.py --hw xpu --suite stage-b-test-1-gpu-xpu --continue-on-error"
+          docker exec ci_sglang_xpu bash -c "source /opt/venv/bin/activate && cd /sglang-checkout/test && python3 run_suite.py --hw xpu --suite stage-b-test-1-gpu-xpu"
 
       - name: Cleanup container
         if: always()
diff --git a/test/registered/xpu/test_xpu_embedding.py b/test/registered/xpu/test_xpu_embedding.py
new file mode 100644
index 000000000..fdb8c5895
--- /dev/null
+++ b/test/registered/xpu/test_xpu_embedding.py
@@ -0,0 +1,66 @@
+"""
+XPU embedding server test: validates the OpenAI-compatible /v1/embeddings
+endpoint on Intel XPU using a small embedding model. Lives in its own file
+because embedding models load with --is-embedding and use a different model
+than the chat fixtures in test_xpu_serving_features.py.
+
+Usage:
+python3 -m unittest test_xpu_embedding.TestXPUEmbedding
+"""
+
+import unittest
+
+import openai
+
+from sglang.srt.utils import kill_process_tree
+from sglang.test.ci.ci_register import register_xpu_ci
+from sglang.test.test_utils import (
+    DEFAULT_SMALL_EMBEDDING_MODEL_NAME_FOR_TEST,
+    DEFAULT_TIMEOUT_FOR_SERVER_LAUNCH,
+    DEFAULT_URL_FOR_TEST,
+    CustomTestCase,
+    popen_launch_server,
+)
+
+register_xpu_ci(est_time=120, suite="stage-b-test-1-gpu-xpu")
+
+
+class TestXPUEmbedding(CustomTestCase):
+    @classmethod
+    def setUpClass(cls):
+        cls.model = DEFAULT_SMALL_EMBEDDING_MODEL_NAME_FOR_TEST
+        cls.base_url = DEFAULT_URL_FOR_TEST
+        cls.process = popen_launch_server(
+            cls.model,
+            cls.base_url,
+            timeout=DEFAULT_TIMEOUT_FOR_SERVER_LAUNCH,
+            other_args=["--is-embedding", "--device", "xpu"],
+        )
+        cls.openai_url = cls.base_url + "/v1"
+
+    @classmethod
+    def tearDownClass(cls):
+        kill_process_tree(cls.process.pid)
+
+    def _client(self) -> openai.Client:
+        # Server has no API key, but openai client still requires a non-empty string.
+        return openai.Client(api_key="EMPTY", base_url=self.openai_url)
+
+    def test_embedding_single(self):
+        response = self._client().embeddings.create(
+            model=self.model, input="Hello world"
+        )
+        self.assertEqual(len(response.data), 1)
+        self.assertGreater(len(response.data[0].embedding), 0)
+
+    def test_embedding_batch(self):
+        response = self._client().embeddings.create(
+            model=self.model, input=["Hello world", "Test text"]
+        )
+        self.assertEqual(len(response.data), 2)
+        self.assertGreater(len(response.data[0].embedding), 0)
+        self.assertGreater(len(response.data[1].embedding), 0)
+
+
+if __name__ == "__main__":
+    unittest.main()
diff --git a/test/registered/xpu/test_xpu_serving_features.py b/test/registered/xpu/test_xpu_serving_features.py
new file mode 100644
index 000000000..1ea21b6d5
--- /dev/null
+++ b/test/registered/xpu/test_xpu_serving_features.py
@@ -0,0 +1,167 @@
+"""
+XPU serving-features test: covers OpenAI API, constrained decoding,
+sampling penalties, radix cache, and reasoning parsing in a single
+server fixture so each feature gets one canonical assertion on Intel XPU
+without paying the cost of N separate model launches.
+
+Usage:
+python3 -m unittest test_xpu_serving_features.TestXPUServingFeatures
+"""
+
+import json
+import unittest
+
+import openai
+
+from sglang.srt.utils import kill_process_tree
+from sglang.test.ci.ci_register import register_xpu_ci
+from sglang.test.kits.cache_hit_kit import run_multiturn_cache_hit_test
+from sglang.test.test_utils import (
+    DEFAULT_SMALL_MODEL_NAME_FOR_TEST,
+    DEFAULT_TIMEOUT_FOR_SERVER_LAUNCH,
+    DEFAULT_URL_FOR_TEST,
+    CustomTestCase,
+    popen_launch_server,
+)
+
+register_xpu_ci(est_time=300, suite="stage-b-test-1-gpu-xpu")
+
+
+class TestXPUServingFeatures(CustomTestCase):
+    """One server, many features. Boots Llama-3.2-1B-Instruct once and
+    exercises five separate gaps the per-feature tests would each launch
+    their own server for.
+    """
+
+    @classmethod
+    def setUpClass(cls):
+        cls.model = DEFAULT_SMALL_MODEL_NAME_FOR_TEST
+        cls.base_url = DEFAULT_URL_FOR_TEST
+        # No API key: the radix-cache helper sends raw POSTs to /generate
+        # without auth headers, so the server must be open.
+        cls.process = popen_launch_server(
+            cls.model,
+            cls.base_url,
+            timeout=DEFAULT_TIMEOUT_FOR_SERVER_LAUNCH,
+            other_args=["--device", "xpu"],
+        )
+        cls.openai_url = cls.base_url + "/v1"
+
+    @classmethod
+    def tearDownClass(cls):
+        kill_process_tree(cls.process.pid)
+
+    def _client(self) -> openai.Client:
+        # Server has no API key, but openai client still requires a non-empty string.
+        return openai.Client(api_key="EMPTY", base_url=self.openai_url)
+
+    def test_openai_chat_completion(self):
+        response = self._client().chat.completions.create(
+            model=self.model,
+            messages=[{"role": "user", "content": "Say hello in one word."}],
+            max_tokens=8,
+            temperature=0.0,
+        )
+        self.assertEqual(len(response.choices), 1)
+        self.assertEqual(response.choices[0].message.role, "assistant")
+        self.assertGreater(len(response.choices[0].message.content or ""), 0)
+        self.assertGreater(response.usage.completion_tokens, 0)
+
+    def test_json_constrained_generation(self):
+        schema = {
+            "type": "object",
+            "properties": {
+                "name": {"type": "string"},
+                "age": {"type": "integer"},
+            },
+            "required": ["name", "age"],
+        }
+        response = self._client().chat.completions.create(
+            model=self.model,
+            messages=[
+                {
+                    "role": "user",
+                    "content": "Return a JSON object with fields name (string) and age (integer).",
+                }
+            ],
+            max_tokens=64,
+            temperature=0.0,
+            response_format={
+                "type": "json_schema",
+                "json_schema": {"name": "person", "schema": schema, "strict": True},
+            },
+        )
+        text = response.choices[0].message.content
+        self.assertIsNotNone(text)
+        parsed = json.loads(text)
+        self.assertIn("name", parsed)
+        self.assertIn("age", parsed)
+        self.assertIsInstance(parsed["age"], int)
+
+    def test_sampling_penalty(self):
+        prompt = "List five different colors:"
+        baseline = self._client().completions.create(
+            model=self.model,
+            prompt=prompt,
+            max_tokens=64,
+            temperature=0.7,
+            seed=1,
+        )
+        penalized = self._client().completions.create(
+            model=self.model,
+            prompt=prompt,
+            max_tokens=64,
+            temperature=0.7,
+            seed=1,
+            frequency_penalty=2.0,
+            presence_penalty=2.0,
+        )
+        self.assertGreater(len(baseline.choices[0].text), 0)
+        self.assertGreater(len(penalized.choices[0].text), 0)
+        # Penalty must change the output for the same prompt + seed.
+        self.assertNotEqual(baseline.choices[0].text, penalized.choices[0].text)
+
+    def test_radix_cache_multiturn_hit(self):
+        run_multiturn_cache_hit_test(
+            base_url=self.base_url,
+            model_path=self.model,
+            num_clients=4,
+            num_rounds=3,
+            request_length=128,
+            output_length=64,
+        )
+
+    def test_reasoning_separate_parser(self):
+        # Drive the separate-reasoning code path: when the model emits a
+        # <think>...</think> block the server must split it from the visible
+        # answer. Llama-3.2-1B does not naturally emit thinking tags, so we
+        # prompt it to do so explicitly and assert the parser surfaces both
+        # fields without crashing.
+        response = self._client().chat.completions.create(
+            model=self.model,
+            messages=[
+                {
+                    "role": "user",
+                    "content": (
+                        "Wrap your reasoning in <think>...</think> tags then "
+                        "answer: what is 1 + 1?"
+                    ),
+                }
+            ],
+            max_tokens=48,
+            temperature=0.0,
+            extra_body={"separate_reasoning": True},
+        )
+        message = response.choices[0].message
+        self.assertEqual(message.role, "assistant")
+        # Either reasoning_content is populated, or content is — never both empty.
+        reasoning = getattr(message, "reasoning_content", None) or ""
+        content = message.content or ""
+        self.assertTrue(
+            reasoning or content,
+            "separate_reasoning produced empty reasoning_content AND content",
+        )
+
+
+if __name__ == "__main__":
+    unittest.main()