They are both photonic modes of quantum computing, that use some similar engineering, but deeply different principles.
In the PsiQuantum hardware (cluster state computing) the non-classical effects come from using single photons, not pseudo-classical (a.k.a. coherent) states. It is very difficult to make consistent single photons of exactly the same wavelength and it is difficult to detect them with extremely high reliability, but the rest of the engineering is "easy".
In the Xanadu hardware (continuous variable computing) the non-classical effects come from "non-Gaussian" operations (operations that are not based on the "Gaussian" beamsplitters, wave plates, and squeezing). They do not need single-photon states of light, they can start with coherent states. Coincidentally, the "Gaussian" operations and coherent states are the easy ones, but obtaining "non-Gaussian" resources is just as difficult (but difficult in a different way) as obtaining consistent single photon states.
At the end both of these low-level-hardware approaches will be abstracted in a nice programmable interface that just gives you an abstract quantum computer (e.g. based on the most well known "gate model"), but the low-level implementation is as different as it gets.
Lastly, there are teams that try to directly implement the gate model (IBM, Google, Yale, UCSB, etc), teams that try fancy topologically protected models (Microsoft, paper retractions notwithstanding), adiabatic quantum computing (D-Wave, but they were snake-oil salesmen for a bit and lost a lot of good will in the academic community).
And there is a ton of cross-pollination between the different teams and different (but computationally equivalent) models.