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Projectors don't need to be as high-res as screens, the pixels spread out in the same way as a torch-beam does so you don't get blockiness (and extremely fine resolutions would be lost), and with the applications this would be used for why would you need more precision than 720p? People obsess on resolution too much, probably because it's a nice simple number to compare.

Same goes for 3GB RAM.. what will this need loads of RAM for? Isn't it basically an external display combined with cameras and gesture input/processing? [EDIT TO ADD] maybe I'm wrong about this, I thought it was a peripheral but it seems to be standalone.. although the example apps don't sound very taxing.

I agree with the general point about Sony designing with cheap components etc but can't see how it matters in this instance.

I feel like 720p/3GB would be capable enough for most basic Android utility apps, and some social media, which appears to be the use case they're targeting here.

Do not let perfect be the enemy of good.

I just don't want good to be the enemy of "even better" :-)