What's the difference?

Tokyo is a traditional retaurant seating and Teppan is an Hibachi Grill - both are very good.
 
While you can order sushi at Teppan Edo, it's mostly like your basic Benihana, grill-top cooking.

Tokyo Dining is like any other traditional Japanese restaurant where you can get sushi, tempura, teriyaki, etc. I love sushi, so I would tend to go here.

If I wanted the 'show' with my meal, I'd go to Teppan Edo.
 
While you can order sushi at Teppan Edo, it's mostly like your basic Benihana, grill-top cooking.

Tokyo Dining is like any other traditional Japanese restaurant where you can get sushi, tempura, teriyaki, etc. I love sushi, so I would tend to go here.

If I wanted the 'show' with my meal, I'd go to Teppan Edo.

This is what I think. We have hibachi restaurants at home that cost a lot less so I don't really care about going to one while at WDW.
 

This is what I think. We have hibachi restaurants at home that cost a lot less so I don't really care about going to one while at WDW.

The hibachi places near me tend to be pricey, regardless. I would tend to skip Teppan Edo, as well, because I would prefer sushi. But I think it's worthwhile for those who don't normally go to teppan hibachi restaurants. It's entertainment.
 
I prefer Tokyo Dining, but I rarely eat at either. Teppan Edo is nothing more than a glorified Benihana. I suspect you have a comparable hibachi grill in your hometown for about half the price. The chefs in Epcot are wildly entertaining, but I can't justify the price, considering the quality of the food. I have never had a bad meal there necessarily, but it's basic and rather forgettable.

Tokyo Dining is a decent sushi house, depending on what you're accustomed to eating. A close relative of mine owns a upscale Japanese restaurant and serves as the head sushi chef there, so I grew up with wonderful sushi. So to me, Tokyo Dining is just decent. Everything there is fresh and well-prepared, though, so I would certainly eat there if I'm looking for a quick, easy dinner at Epcot.
 
I ate at both places on my Sept 09 trip. They were both good and I would eat there again if I use the DDP.
At Tokyo Dining I had the Shinjuku Gozen, which is a tempura sampling, and a variety of raw fish.
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At Teppan Edo I had Asakusa, which was shrimp and beef and was quite good.
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An example of the fun...


You sit with 8 people and I was seated with two very friendly families and we ahd a great time.
 


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