If true, sounds like a disbalance between storage capacity and graphics potential.
The upped EDRam should provide a lot of additional graphics potential, so a true 1080p console like the PS3 in terms of full potential. The PS3 will still have the advantage of more storage (Blu-Ray vs DVD) and higher performance processor (6 cores vs 8 processors for the PS3 with fast local system memory) which may compensate for the 360's newer GPU. The NextBox will then however provide more system RAM than the PS3 and a faster loading internal drive.
Technically the PS3 would be about on par, but IMO Blu-Ray >>> more system RAM for a games console. I hope it's true, as it will up the potential for cross platform XBox/PS3 gaming and I hope PC devs will start to move towards Blu-Ray in the coming years, then the PS3 would have an edge for cross platform PC/PS3 development in terms of game potential.
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