The new console will be capable of upscaling current PS4 titles to 4K, as well supporting games with improved visual fidelity, a huge benefit for the upcoming Playstation VR headset.
The Neo will feature a superior clock speed to the PS4 (2.1 GHz vs 1.6 Ghz), as well as an improved GPU.
Specifically, the current PS4 features an AMD GCN with 18 compute units running at 800MHz, but the PS4 Neo is expected to have 36 compute units running at a faster 911MHz clock speed. So that's double the potential processing units and at a higher clock speed, which explains previous claims that the PS4.5 would be twice as powerful as the PS4.
That's not all. While the Neo will still ship with 8GB of GDDR5 memory, it be faster – 218GB/s vs 176GB/s, just shy of 24% faster than the PS4's memory.
Unofficial preliminary specifications. Product image for illustrative purposes.