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Question

Is a semantic cache cheaper than calling the LLM directly?

Answered from AI Interview Questions #3 - Prompt Caching with LLMs · Gaurav Sen · 2026-08-03

Yes, in Gaurav Sen's answer. Checking a semantic cache needs only an embedding model, which is fast and cheap to run. A real LLM call runs the prompt through all of the model's attention blocks, and since most teams use a hosted provider rather than running the model themselves, that call usually costs more.

Source: our own transcription of the episode. The full conversation is on Gaurav Sen (2026-08-03). Read the whole episode summary →

▸More from this episode

Q1How does prompt caching work in LLMs, according to Gaurav Sen?Q2How do you stop an LLM prompt cache from serving stale answers?Q3What is a semantic cache for LLM prompts, as Gaurav Sen explains it?Q4What are the trade-offs of a semantic cache for LLMs, according to Gaurav Sen?
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