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shikamaru317 said:

A few reasons I can think of:

1. PS4K Neo is releasing a year earlier than Xbox Scorpio. Because costs go down over time, a full Polaris 10 chip will be cheaper for MS next year than it would be for Neo this year. Sony likely wants to hit $400 for Neo, so they ordered a cut-down Polaris 10 chip instead of the full chip.

2. If the rumors are true, Neo is using an overclocked version of the PS4 CPU, likely for compatibility reasons. The CPU will likely be a bit of bottleneck for Neo, so a full Polaris 10 chip would be overkill anyway, better to buy a cheaper cut down Polaris 10 chip. 

Also, we're still not sure than Neo is using Polaris 10, it could be using an older GPU from the Rx 200 or Rx300 lines for all we know, though the rumored specs for the Neo match no known AMD chip, which is what lead to the Polaris speculation to begin with.

Thanks, those reasons make a lot of sense. It's still a bit strange that Sony would so readily give up the power advantage between their systems. You'd think that since they have a very similar relationship to AMD that they would realize MS would just bump up to the greater card. I do wonder, though, if both systems are going to be hampered by the market conditions. Not only will the need for compatibililty between the XB1 and the base PS4 come into account, but so will the public's limited hardware. While the Scorpio will be capable of greater resolutions than the Neo, the fact is that most of the public's TVs are capped at 1080p (4k adoption is decent, but it's going to take a while to reach the mainstream), which means most of the difference between the two would come down to graphical effects and features such as anti-aliasing.