So before Oodle Texture was announced, the comparison was like this:
PS5 - Kraken for all data compression
XSX - BCPack for textures, ZLIB for all other data and further compresses the BCPack compressed textures
Kraken compresses data about 10% better than ZLIB, but also decompresses much faster when using similar hardware resources. BCPack resulted in XSX having a higher compression ratio overall, but still falling behind because the PS5 starts with a much higher raw SSD speed to begin with. Oodle Texture is a BCPack equivalent in terms of the pipeline. So now the comparison looks like this:
PS5 - Oodle Texture for textures, Kraken for all other data and further compresses the Oodle Texture compressed textures
XSX - BCPack for textures, ZLIB for all other data and further compresses the BCPack compressed textures
If you go and look at Lamda 40 (the highest texture compression ratio for Oodle Texture) samples on
Oodle's website you will see that although it is lossy compression, to the naked eye the difference is nearly imperceptible especially compared to other lossy compressors. Given this I expect developers will routinely use either Lamda 30 or 40 level of compression.
What does this mean for PS5 games? It means if a developer chooses to go with the max level of compression possible using Oodle Texture and Kraken, they can rely on a system that was built to take full advantage of that with hardware decompression that can keep up with that speed because of its ability to decode data at 22 GB/s max. Another benefit is that game sizes can be smaller, although this is somewhat counteracted by the need for an increase in quality and quantity of assets. I suspect that bigger and better looking games will ultimately land at around the same size as they are currently because of higher compression and the elimination of a need to duplicate data on the SSD for faster data access times. As for how the speed directly benefits games, I suspect that it will take awhile for game engines and developers to implement ways to use the full speed available here, especially as Oodle Texture just released. At a minimum we should see faster loading, little to no pop in, much higher levels of texture detail, new gameplay options, and with time, games that ultimately surpass the UE5 demo level of fidelity. Exciting times ahead!