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Barozi said:

game engine-wise no doubt, but when you can't show it in every race, it's not of much use. (talking about damage mainly. Though that doesn't mean that I wasn't disappointed when I saw the "damage" in Forza 3 for the first time.)

Higher resolution is pretty much a non-factor in this case, since GT5 runs a bit slower on average. Should be around the same if both are 720p or both 1280x1080.

Only real factor are the 8 additionally AI drivers.

Though in the end it's hard to say how much farther Forza could go. Definitely hasn't reached its limit at the current settings.

Let's not forget how smart the 8 forza A.I drivers actually were. They never stuck to a line, occasinally made real life mistakes when under pressure and reacted differently to how you drove next to them.

I haven't had the chance to play GT5 yet but I've heard the A.I are still the same from the old games which means they all follow a racing line and stay in that position.