- semantic_cache.py: Semantic similarity matching for cache hits
- rag.py: RAG-based context selection with local embeddings
- compression.py: Conversation history summarization
- New endpoints: /cache/semantic-lookup, /cache/semantic-store, /context/rag, /compress
- Uses sentence-transformers (all-MiniLM-L6-v2) - no external API calls
- No vector DB needed - cosine similarity on small datasets is fast enough
- Expected savings: 50-70% token reduction