Could This Gemini Trick Finally Replace RAG?



AI Summary

Summary of Video on Context Caching for LLM API Cost Reduction

  • Goal: Slash LLM API costs by up to 90% using context caching.

  • Key Concepts:

    • Context Caching: Reduces API calls and costs; serves as an alternative to retrieval augmented generation (RAG).
    • API Providers: Major providers like OpenAI, Enthropic, and Google have implemented context caching.
      • Google’s Implementation: Originally needed 32,000 tokens; now reduced to 4,000 tokens for caching.
  • Advantages:

    • Speeds up interactions with large documents (e.g., PDFs, videos) while decreasing costs.
    • Users can set cache expiration (default 1 hour).
    • Can replace RAG for smaller documents, enhancing in-context learning.
  • Cost Impact:

    • Example: For Gemini 2.5 Pro, caching prompts can lead to 75% cost reduction for tokens beyond 200,000.
    • Importance of considering both caching and storage costs.
  • Practical Implementation:

    1. Install Google generative AI package and relevant libraries.
    2. Upload a scanned document (e.g., a 600-page plan).
    3. Create a cache for future interactions with the LLM.
    4. Monitor token usage and metadata from the request.
  • Additional Techniques:

    • Use the delete function to manage cache after user sessions.
    • Iterate through multiple caches and update cache duration dynamically.
  • Example Application:

    • Caching GitHub repository contents using Git Ingest to facilitate LLM interactions for creating MCP servers at lower costs.
  • Final Thoughts:

    • Context caching is a crucial technique for those using LLMs via APIs to significantly lower costs and improve performance. Google offers more control compared to other providers.