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The Xbox is more powerful in some categorys, but not all. I still believe that the games are what matter and this will prove to be the most important factor when buying a gaming console.
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I posted a list of GPU capabilities of the Xbox which the PS2 doesn't support. The PS2's processor is 294 or so MHz while the Xbox is 733MHz. The PS2 can't do anti-aliasing, vertex shading, pixel shading and can only do 60 million polygons while the Xbox can do 125 million.
What does the PS2's processor do that's better or faster than the Xbox?
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Play Grand Theft Auto 3. Read this. all of it, it's rather long. [url]http://arstechnica.com/reviews/1q00/playstation2/ee-1.html[/url] When dealing with a gaming console, there is more to it than fancy names for 'blurring' and big numbers. It's all about the games.
In regards to the DVD playback, I did use the wrong word, it is accurate, however I believe it is misleading. My mothers mini-van can go 0 to 60 in under 4 seconds. but I have to throw in a v10 and lighten the load in order to do it. ;) The dreamcast originally came with a modem, and it's a 2 year old (and now sadly, dead) console. I expect a console costing $300 to do some stuff out of the box with out me having to pay extra for the ability to playback dvds. (as an offshoot, it seems that the dvd playback package really is just a IR receiver and a remote, with all the ability to play DVD's already built in. I need to do more research on this, but at first glance, it seems as it's just a ploy for more money which is sad.) I do believe the xbox is generally more powerful, but the ps2 can hold its own. And once again I believe there is more to a console than what is under the hood (so to speak). Many consoles that have been technically superior have lost to weaker adversaries. I don't think the xbox will lose by any means, but neither will it crush the PS2.