PricingReading · ~3 min · 68 words deep

Cache Pricing

A provider feature that gives you discounted input pricing for prompts the system has already processed · 50-90% savings.

Text reviewed October 5, 2026

TL;DR

A provider feature that gives you discounted input pricing for prompts the system has already processed · 50-90% savings.

Level 1

The mechanism: if you send the same system prompt (or tool definitions, or retrieved docs) repeatedly, the provider keeps the KV cache warm and charges you massively less. Changes the economics for multi-turn agents and batch workloads. Current prices for every tracked model are on the BenchGecko pricing pages.

Level 2

Cache pricing maps onto the prefill/decode split. The prefill work for a stable prefix (system prompt, tools) can be amortized across many requests. Providers expose this as a pricing tier · mark which prefix portion is stable, and subsequent requests hit cache at discounted rates. Caches expire after minutes of idle (varies by provider). Multi-turn chat workloads with stable system prompts see 60-80% total cost reduction when cache-aware.

Level 3

Anthropic Prompt Caching: ephemeral and persistent cache tiers. Ephemeral = 5-min TTL, 90% discount on hit, 25% surcharge to write. Persistent (beta) = longer TTL. Cache hit rate depends on prompt stability · production systems should design for cache-hit with prefix stability guarantees.

The takeaway for you
If you are a
Curious · Normie
  • ·AI companies charge less when they can reuse work
  • ·Why chatbots with stable personas are cheaper to run
  • ·Not the same as RAG · this is about prompt reuse, not knowledge
If you are a
Builder
  • ·Design your system prompt for stability · cache it
  • ·Separate stable prefix from volatile user input
  • ·60-80% workload cost reduction is typical with cache-aware design
If you are a
Investor
  • ·Multi-turn workloads favor cache-capable providers
  • ·Cache hit rates are hidden unit economics most pricing comparisons ignore
If you are a
Researcher
  • ·KV cache persistence → prefill amortization
  • ·TTL varies 5min to hours by provider and tier
Gecko's take

Cache pricing is the closest thing to a free lunch in LLM economics. Ignore it and overpay by 50-90%.

Most other providers don't offer explicit cache tiers yet.