the following is taken from http://wow.curse.com/articles/details/9636/
which is an interview with Tom Chilton:

"Curse: With all the changes you're introducing -- 10-person instances for every raid instance -- can we expect a similar shift for the Arena and Honor systems, where the Honor system is basically the equivalent of 10-person, and Arena is 25?

TC: Certainly the itemization is going through some changes to reflect that. The way we have it set up is, the highest end of the Arena gear and some of the Honor gear that has Arena requirements on it will actually be equivalent to 25-man raid instances. So when Season 1 starts for level 80 Arenas, the best stuff that has really high rating requirements, kind of like what you're seeing for the Season 4 rating requirements, will mirror the 25-man Naxxramas quality. Then we'll have a middle tier that's below that, that has lower rating requirements and is much cheaper, but it parallels the 10-person raiding quality. And then we're also going have a tier below that of PvP gear, that has no requirements at all, and it parallels the Heroic dungeon quality gear. So we do plan to start out with multiple tiers right out of the gate, and we're going to make sure that the best stuff also feels, from PvP, kind of equivalently difficult to get as the best stuff from PvE. So we're trying to equalize the balance a bit better."

Close enough...

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