President of Sony Interactive Entertainment Andrew House has confirmed to Financial Times that the rumored PS4 NEO, an upgraded version of the current PS4, is real and it's currently in the works.
According to House, the PS4 Neo is a "high-end PS4" that supports 4K resolutions and enhanced graphics that will "sit alongside and complement the standard PS4". He also assures that all PS4 games will be compatible with both versions of the PS4 and expects all or a very large majority of games to support the high-end PS4. Unfortunatelly, the new console won't be shown at E3 2016.
"It is intended to sit alongside and complement the standard PS4," House said. "We will be selling both [versions] through the life cycle.
"We want to ensure we have a full range of the best experiences on the new system that we can showcase in their entirety. All games will support the standard PS4 and we anticipate all or a very large majority of games will also support the high-end PS4."
Although a price for the console has yet to be revealed, House did confirm that it will be more expensive than the current $350 model. Release date and specs of the console are also unknown at the moment.
Meanwhile, Microsoft is also rumored to be working on a new version of the Xbox One.
Source: Financial Times