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The PlayStation 4 was released in 2013 with a new AMD Accelerated Processing Unit built upon the x86-64 architecture, generating a peak output of 1.84 TFLOPs. This year, Sony will return with a smaller, slimmer and cheaper version of PS 4, and an upgraded 4K-capable version of the existing console. The two new devices are rumored to be unveiled next month.

The PS4 Neo, also known as PS4K will be unveiled on September 7, during an event that will take place in New York. Those who will attend the event will catch a glimpse of the new hardware that will be found inside the new console that will be 40 percent smaller than the PS4. Sony is making this move a month after Microsoft has unveiled the Xbox One S console, which is also a slimmed-down version of the Xbox One, but it’s white, “svelte and good-looking”.

Sony has already cut production of the PS 4 and in June, the company has announced that it’s working on a more powerful PS4 (faster processor, support for 4K games, upgraded graphics) that is “intended to sit alongside and complement the standard PS4”. Sony CEO Andrew House has mentioned two versions of the existing console, adding that all upcoming PS4 games will be playable on both of them.

The PS4 Neo is rumored to have a higher clock speed of 2.1GHz (vs 1.6GHz), 36 compute units running at 911MHz (vs 18 compute units running at 800MHz), 8GB of GDDR5, but 24 percent faster, as it will run at 218GB/s (vs 176GB/s). Ars Technica has reported that AMD is working on three new semi-custom systems (SOC) and one of them, which is believed to power the Neo, will be released later in 2016.

It isn’t known how much the Neo will cost, but since in the UK, the PS2 costs £300, the PS3 is £25 more expensive and the PS4 is priced at PS4 £349, we think that the Neo will not be more expensive than £400.