A new report from Windows Central suggests that plans for a Microsoft-developed Xbox handheld have been sidelined so that Microsoft’s full focus can be on improving Windows 11’s performance on third-party handheld PCs. This news comes as a disappointment, as rumors regarding an official Xbox handheld have circulated for a while and have even been addressed by Microsoft Gaming CEO Phil Spencer.
The report goes on to explain that Microsoft wants to “prioritize” the gaming performance of Windows 11. In turn, this will allow the OS to function and run games more smoothly on third-party handheld PCs that use Windows as the primary operating system. This will be seen next in a previously reported upon Asus handheld codenamed Project Kennan, which will reportedly be positioned as a partner device for Xbox. Windows Central claims that the software side of Kennan still requires a “significant effort” from its developers, even though the hardware side is “essentially finished” and the device is reportedly set to release this year.
In the long term, it appears that this may only be a temporary setback in the effort to create new official Xbox hardware, such as a handheld. Windows Central goes as far as to say that “Microsoft is still deeply investing in developing its own Xbox gaming handheld technology in the future,” even though third-party handhelds are now what’s being primarily prioritized. A next-gen Xbox console is also reportedly slated for 2027, and Microsoft is in the process of upgrading its Xbox Cloud Gaming technology. There have also reportedly been no layoffs as a result of this shift, which is a positive sign and suggests that this move is truly a matter of resource allocation.
Keep in mind that Microsoft and Asus have yet to officially announce an Xbox-related handheld, despite both having been heavily teased and rumored. If Windows Central’s reporting is accurate, we can expect Asus’ device to arrive sometime later this year, in the midst of a fall lineup featuring titles like Ninja Gaiden 4 and The Outer Worlds 2.
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Source: https://comicbook.com/gaming/news/xbox-handheld-delayed-indefinitely/