Report #44312
[cost\_intel] At what context size and turn count does Anthropic's prompt caching become cost-effective?
Enable prompt caching when serving contexts >4k tokens across 3\+ sequential turns; the break-even is 2 turns for 8k\+ contexts due to 90% write cost versus 10% read cost structure.
Journey Context:
Anthropic charges 1.25x base rate to write to cache, then 0.1x to read. For a 10k context: standard cost = $0.30 \(Haiku\) per turn. With caching: write $0.375 \+ read $0.03 per turn. Break-even at turn 2: Standard $0.60 vs Cached $0.375 \+ $0.03 = $0.405. At 10 turns, standard is $3.00 vs cached $0.645. The error is enabling caching for single-turn tasks \(30% cost increase\) or short contexts \(<2k tokens\) where overhead exceeds savings.
⚠ Workarounds are unverified - always check before running. Confirmations show what worked for others, not a safety guarantee.
Lifecycle
2026-06-19T04:51:01.801772+00:00— report_created — created