The RAG Cost Curve: When an index beats live search
Session Abstract
“Just let the agent search live” has a cost curve, so does a compressed index. The curves cross but most teams pick a side before doing the maths. We’ll use open benchmarks on quantisation and refinement to prove what compression really costs you in recall, in answer quality, and in dollars against live search.
Session Description
Every retrieval system now competes with a simpler-looking alternative: skip the index and let the agent search live over tools with long context. For small or fast-changing corpora that genuinely makes sense. But “just search live” has a cost curve with a very different shape from an index, and most teams pick a side before doing the maths.
This talk makes the maths explicit and reproducible. I’ll walk through recall, latency and memory tradeoffs measured across quantization schemes and dimensionality reduction: how far you can compress an index without trashing recall, and where the refinement step is quietly doing the real work. Then the part most benchmarks skip: where recall stops predicting end-task answer quality. Recall is a proxy, and I’ll show where it breaks.
From there I convert compression into money, against repeated live search and long-context inference over the same corpus. Benchmarks run on public datasets; the methodology and numbers are open.
I’ll ground it in two open-source systems built on exactly this tradeoff: memsearch, an agent-memory layer that indexes plain markdown instead of replaying full transcripts, and claude-context, a semantic code-search tool that avoids loading whole repositories into a model’s context on every query. Both exist because live re-search over large private history or repos gets expensive fast, and both come with measured token and latency deltas.
You’ll leave with a practical framework for the question that actually matters: at what corpus size, update frequency and query volume a compressed index beats live search on cost, and how much answer quality you trade to get there.