It depends on exactly which parts you’re comparing, but it can be a physically bigger die, a die the same size with more function enabled or binned to run at a higher frequency, more memory installed, etc.
Ultimately it’s marketing fluff, and you have to look at the specifications and benchmarks to see the actual difference. There can also be significantly different parts marketed with the same number.
The company establishes the scheme it uses for naming them. In this case, the first two digits are the Generation (higher = newer usually) and the last two digits are the Performance Tier (50 is lower than 60, which is worse than 70, 80, 90). Nvidia also uses Ti, which means it’s a bit better than the corresponding base version, but not better than the next Performance Tier.
AMD only has the first digit marking the Generation (5xxx or 6xxx), and the following 3 for the Performance Tier.
With different Generations the overall Performance is improved, so the RX 5700 XT has about the same level as the RX 6600 XT (higher Performance Tier but older Generation vs lower Performance Tier with newer Generation)
Same with the RTX 3070 and RTX 2080 Ti
Cards in a series usually have the same high level architecture but will have differences that make them more or less powerful, for example: more memory, bigger bus, faster clock speeds, etc. will make them more powerful. See the table below, the numbers in all the columns generally get bigger the further down the table you look.
[https://en.wikipedia.org/wiki/GeForce_30_series#GeForce_30_(30xx)_series_for_desktops](https://en.wikipedia.org/wiki/GeForce_30_series#GeForce_30_(30xx)_series_for_desktops)
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