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System Design for AI in Production / 62

Design a semantic cache for LLM responses that cuts cost and latency without serving stale or wrong answers.

Exact-match caching barely helps when no two prompts are identical. Semantic caching reuses answers for similar queries, and its whole risk is returning a near-match that's subtly wrong. Here is how to build it safely.

Updated Aug 2026 · Grounded in real Applied AI Engineer interview loops and written to a senior-engineer editorial bar.

Exact-match caching barely helps when no two prompts are identical. Semantic caching reuses answers for similar queries, and its whole risk is returning a near-match that's subtly wrong. Here is how to build it safely.

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