Both Panasonic LZ40 and Sony RX10 III have 20.0 MP resolution sensors but Panasonic LZ40's sensor is 1/2.3-inch (6.17 x 4.55 mm ) and Sony RX10 III's sensor is 1″ (13.2 x 8.8 mm ).
Since Sony RX10 III's has a larger sensor area with the same resolution, this means that it also has a larger pixel area hence better light collecting capacity for a given aperture compared to Panasonic LZ40.
Below you can see the LZ40 and RX10 III sensor size comparison.
Sensor Size and Resolution Comparison image of Panasonic LZ40 and Sony RX10 III Cameras
As seen above, Sony RX10 III has a 4.1x Larger sensor area than Panasonic LZ40. Larger sensors give photographer more control on the depth of field and blurry background compared to smaller sensor when shot in same focal length and aperture.
Sensor size sets the circle of confusion, so it drives how much depth of field each
of these bodies gives you at a given aperture. You can calculate it exactly for the
Panasonic LZ40
or the
Sony RX10 III ,
including hyperfocal distance.
One thing to watch when comparing these two: they have different sensor sizes
(1/2.3-inch versus 1″ ),
so compare them at the same framing rather than the same focal length.
Put the same focal length on the smaller sensor and it will show less depth of
field, not more, because it also crops tighter. The calculator shows the
full frame equivalent focal length for each body so you can match the framing.