Two support users ask your agent almost the same question within a minute of each other. The first asks, "What's our refund window for EU orders?" The second asks, "What's our refund window for US orders?" The embeddings of those two sentences sit a hair's breadth apart — same length, same structure, one two-letter token of difference. Your semantic cache, tuned to a similarity threshold that looked perfectly reasonable in the demo, scores them as a match. The second user gets the first user's answer. The EU's 14-day cooling-off period is presented to a US customer as fact, in fluent prose, with no asterisk.
Nobody gets paged for this. The cache returned a 200. Latency was great. The cost dashboard shows a hit, which is the outcome everyone wanted. The only signal that anything went wrong is a customer acting on policy that does not apply to them — and that signal arrives days later, through a refund dispute, not through your monitoring.

This is the failure mode that makes semantic caching different from every cache you have built before. An exact-match cache can be stale, but it is never wrong — the key either matches or it doesn't. A semantic cache trades that guarantee away on purpose. It is designed to return answers for keys it has never seen, and the price of that latency win is a correctness risk that most teams never put a number on.