The first Xbox handheld might not come from Microsoft

Microsoft partners with a PC maker for an Xbox-branded handheld, aiming for release before 2027.

: Microsoft is reportedly developing an Xbox-branded handheld device in collaboration with a third-party PC maker in the gaming space. Codenamed "Keenan," this device could showcase Xbox design features, including an official Xbox guide button. The handheld, potentially running on Windows 11, aims to simplify the OS for controller use instead of a mouse. Phil Spencer and Jason Ronald's views indicate a broader trend toward integrating Xbox and Windows technologies.

Microsoft is reportedly venturing into the handheld gaming market, but in a notable twist, their potential Xbox-branded handheld might not be a first-party product. According to Windows Central, Microsoft is collaborating with a well-established PC maker in the gaming sector to develop a device codenamed "Keenan." This approach mirrors Valve's strategy with SteamOS, emphasizing an Xbox-themed experience without the company's direct hardware involvement. The potential device is expected to incorporate prominent Xbox design elements such as an "official Xbox guide button," and may operate on Windows 11.

During CES 2025, Microsoft's Jason Ronald, VP of "Next Generation," shed light on the company’s ambitions during an AMD and Lenovo event focused on "The Future of Gaming Handhelds." Ronald articulated Microsoft's intention to meld "the best of Xbox and Windows" and indicated efforts towards making Windows usage more intuitive and console-like for handhelds. He hinted at more insights to be shared later in the year, reflecting Microsoft's consciousness of the growing demand for portable gaming experiences.

Phil Spencer, CEO of Microsoft Gaming, has previously discussed Microsoft’s keen interest in handheld devices. Spencer acknowledged that the company has been experimenting with handheld prototypes, suggesting a growing emphasis on broadening Xbox's compatibility with portable technologies. This aligns with Microsoft's observed pattern of fostering third-party cooperation to disseminate their software infrastructure, observed in Valve's implementation of SteamOS.

Windows Central hints at a broader array of prospective Microsoft ventures for the gaming community by 2027. Envisaged projects include a successor for the Xbox Series X, innovative internet-connected controllers, and potentially, a first-party Xbox gaming handheld. This future roadmap reflects Microsoft's strategic layering: advancing current gaming capabilities while nurturing innovation in form factors and user interaction.

The potential Xbox handheld is a significant development within Microsoft's overarching strategy of creating a cohesive gaming ecosystem. By integrating with existing third-party hardware and prioritizing user experience tailored for portability, Microsoft aligns itself with shifting consumer preferences. As the gaming industry tilts more towards versatility and mobile gameplay, this endeavor underscores the company’s adaptability in meeting and pioneering these contemporary gaming paradigms.

Sources: Windows Central, The Verge, Engadget.

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