Making Sense of the Xbox Handheld Rumors

Microsoft could be planning to enter the handheld gaming market with an Xbox-branded device. While the company has not officially confirmed these plans, reports suggest that an Xbox handheld console could be in the works. Here's everything we've heard so far.

When Could an Xbox Handheld Be Released?

There’s no confirmed release date yet, but we're hearing that Microsoft might be collaborating with Asus to develop a handheld gaming device. Codenamed Kennan, it could launch later this year and is expected to run on Windows with an Xbox-like interface.

Here’s why the rumors are growing:

• It’s been years since Microsoft’s last major hardware launch—the Xbox Series X and S released in 2020. A new form factor could be the next big step.
• Market demand is clear with the success of handheld gaming via the Steam Deck, ROG Ally, and Lenovo Legion Go.
• Phil Spencer, Microsoft’s head of gaming, has said that he’s "a big fan" of handhelds and thinks Microsoft should have one.

Is Microsoft Even Considering the Release of Any Kind of Handheld?

All signs point to yes. Microsoft hasn’t officially confirmed anything, but there’s growing evidence that a handheld is at least being explored.

Reports say the company is testing a Windows-based Xbox experience, and the rumored Asus collaboration adds weight to that. On top of that, Phil Spencer has openly talked about wanting a better handheld experience for Xbox, which suggests hardware isn’t off the table.

Whether it’s a full first-party device or a partner-led effort, it’s clear handheld gaming is on Microsoft’s radar.

Our Thoughts on Potential Xbox Handheld Features

If a handheld Xbox does happen, it’ll likely lean on cloud gaming and Xbox Game Pass. The device might run a custom version of Windows with a stripped-down, console-style interface. That would allow it to run native PC games alongside streamed Xbox titles, with console games available in a first-party release sometime after this version.

Battery life and cooling will probably be a big focus, especially if it’s running higher-end PC hardware. Integration with existing Xbox services—like cross-save, remote play, and Xbox Cloud Gaming—could help it stand out.

Here's what else we expect, based on trends from other devices and Xbox’s current ecosystem:

• Physical controls that mirror the Xbox controller, along with custom button mapping options.
• A refresh rate that can handle fast-paced gaming.
• Easy access to Xbox Live for multiplayer gaming and social interactions.
• A device that runs Windows means it could include the Microsoft Store and support third-party apps.
• Smart battery management to support extended gaming sessions.
• Expandable storage to handle the large file sizes of modern games.
• A dock would let you connect the Xbox handheld to a TV or monitor for a bigger screen experience.

What Industry Experts Are Saying

Industry insiders suggest that Microsoft's entry into the handheld market is a response to the growing popularity of Steam Deck, Nintendo Switch, and similar devices. Through its software and cloud services prowess, Microsoft could offer a unique handheld gaming experience that differentiates itself from competitors.

Several gaming journalists and insiders believe an Xbox handheld is just a matter of time. According to The Verge, Microsoft is working behind the scenes on a portable Xbox experience that blends PC and console gaming.

Gaming analysts also point out that handhelds represent a growing segment that Xbox can’t afford to ignore. With Valve, Asus, and Lenovo already in the space and Sony re-entering with the PlayStation Portal, Microsoft may be looking to stay competitive in more portable formats.