Microsoft is said to be developing an Xbox handheld game console, and detailed specifications of the device have been exposed online. While Asus is expected to launch an Xbox-branded handheld device with a dedicated Xbox key in the coming months, Microsoft’s device may feature a low-power processor developed by AMD, according to a leaker. Microsoft is also expected to launch its next-generation console in 2027, which is expected to compete with the so-called PlayStation 6.
AMD will develop custom chips for ‘real’ Microsoft handheld devices
According to details shared by user KeplerL2 on the NeoGAF forum, Microsoft will use a custom low-power APU designed by AMD on its handheld gaming device. The leaker did not provide further details related to power consumption or processor architecture.
The user claims that the custom APU designed by AMD will be used in Microsoft’s “real” Xbox handheld computer. Meanwhile, Xbox-branded handhelds made by other OEMs such as Asus will feature other processors such as AMD Ryzen Z2 Extreme, Intel’s Lunar or Panther Lake CPUs, Nvidia’s N1 and Snapdragon X Elite 2.
Previous rumors suggested that Microsoft’s first-party devices could feature Arm-based chips, raising concerns about backwards compatibility. If the leaker’s claims are accurate, the Xbox handheld should be compatible with a wider range of games.
While there’s no word on when Microsoft’s own Xbox handheld gaming console will debut, Asus is expected to launch an Xbox-branded model soon. The ASUS ROG Ally 2 was recently listed on the US FCC website alongside the “Project Kennan” model, which comes in black and comes with an Xbox button.
According to reports, the black version of ROG Ally 2 uses AMD Ryzen Z2 Extreme (36W) APU, paired with 64GB RAM. Meanwhile, the white version of the AMD Aeirth Plus (20W) APU is slightly less powerful. These models are expected to feature 7-inch displays with a 120Hz refresh rate.
The next-generation ROG Ally console may be launching soon and bring some significant hardware upgrades, with Asus previously teasing its arrival via a post on X (formerly Twitter). At the time, the company didn’t specify whether it would be an Xbox-branded device, but Microsoft responded to the post with a meme that could hint at the collaboration on the upcoming Project Kennan handheld device.
