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Anthropic Just Solved Long Context

22.9K views· 396 likes· 7:02· Mar 16, 2026

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Anthropic just made the 1M token context window generally available for Claude Opus 4.6 and Sonnet 4.6; and dropped the long-context pricing premium entirely. In this video, I break down why the pricing move matters more than the context length, what the MRCR v2 benchmark reveals about actual retrieval quality at scale, and what this means for agents, Claude Code, and RAG. 📌 Sources & Links: Anthropic 1M Context GA Announcement: https://claude.com/blog/1m-context-ga Claude Opus 4.6 Launch Post: https://www.anthropic.com/news/claude-opus-4-6 OpenAI API Pricing (GPT-5.4): https://developers.openai.com/api/docs/pricing/ Google AI Pricing (Gemini 3.1 Pro): https://ai.google.dev/gemini-api/docs/pricing Claude Platform Docs — Context Windows: https://platform.claude.com/docs/en/build-with-claude/context-windows Claude Pricing: https://claude.com/pricing#api My Dictation App: www.whryte.com Website: https://engineerprompt.ai/ RAG Beyond Basics Course: https://prompt-s-site.thinkific.com/courses/rag Signup for Newsletter, localgpt: https://tally.so/r/3y9bb0 Let's Connect: 🦾 Discord: https://discord.com/invite/t4eYQRUcXB ☕ Buy me a Coffee: https://ko-fi.com/promptengineering |🔴 Patreon: https://www.patreon.com/PromptEngineering 💼Consulting: https://calendly.com/engineerprompt/consulting-call 📧 Business Contact: engineerprompt@gmail.com Become Member: http://tinyurl.com/y5h28s6h 💻 Pre-configured localGPT VM: https://bit.ly/localGPT (use Code: PromptEngineering for 50% off). Signup for Newsletter, localgpt: https://tally.so/r/3y9bb0

About This Video

Anthropic just made the 1M token context window generally available for Claude Opus 4.6 and Sonnet 4.6, and yeah—Google and OpenAI have had “1M context” too. The reason this drop is actually interesting is not the number, it’s the pricing move and the retrieval numbers. Anthropic removed the long-context pricing premium entirely, so 900k tokens is billed the same way as 9k tokens. That’s a huge deviation from the tiered long-context pricing other frontier labs use, and it means you can realistically shove in way more data—think ~600 PDF page images instead of ~100—without getting punished for it. The second piece is retrieval accuracy at scale, using MRCR v2 (8 needles in a haystack), which is closer to real workloads than the old single-needle tests. At 256k tokens, the new Claude models are basically state-of-the-art (around ~90% retrieval), and when you push to 1M tokens, a lot of models fall off a cliff. Gemini drops hard, GPT-5.4 drops too, but Claude retains performance with only ~18% reduction for Opus 4.6—still usable. Practically, this means fewer compactions (agents “forgetting” due to summarization), better multi-round agent performance, and more viable long-running agentic tasks. And no, this doesn’t kill RAG. Docs can exceed 1M tokens, long context increases latency, and if you don’t need to send everything, retrieval is still cheaper and more practical—just likely with more hybrid retrieval strategies than pure embeddings.

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