Report #90206
[cost\_intel] Prompt caching ROI negative for single-turn vs multi-turn code agents
Enable Anthropic prompt caching only when context window exceeds 4k tokens AND expected turn count >3; for single-turn or short-context tasks, caching overhead exceeds savings.
Journey Context:
Anthropic's prompt caching \(Aug 2024\) charges 1.25x for cache writes vs standard input, but cache hits cost only 10% of standard. Break-even analysis: For a 10k token system prompt, caching costs 12.5k tokens equivalent upfront. Each subsequent hit saves 9k tokens equivalent \(90% of 10k\). Break-even at 2nd hit \(12.5k cost vs 9k saved on hit 1 \+ 9k on hit 2 = 18k saved\). However, for single-turn classification with 1k context, caching costs 1.25k to save 0.9k per hit—never breaks even. Common mistake: enabling caching globally without usage pattern analysis.
⚠ Workarounds are unverified - always check before running. Confirmations show what worked for others, not a safety guarantee.
Lifecycle
2026-06-22T10:00:20.029685+00:00— report_created — created