Microsoft’s plan to work on an Xbox portable device has revved up to some degree. Last year, the company announced that it was looking into the possibility of an Xbox portable gaming device, with Phil Spencer claiming he “couldn’t stop thinking about it“.
Further reports claimed the company began research and development on it in late 2024. However, it seems Microsoft has now brought ASUS on board to help speed up the process.
The new partnership doesn’t mean the ASUS X Xbox portable will be the one and only handheld to come out of Microsoft. In fact, this product is one of two handhelds that Xbox is working on.
According to a new report, the first Xbox portable is called “Project Kennan” and is being developed with ASUS. The device aims to arrive before the end of the year; however, sources say this rushed development might not go as planned, and the handheld could be pushed into 2026 or 2027 and released alongside the next-gen Xbox console.
The partnership with ASUS means that Microsoft has leveraged the PC brand’s current knowledge and resources on the ROG Ally to help develop this Xbox-themed device. Little is known about the specs right now, but the device will likely include some sort of AMD technology in order to work seamlessly across games.
This is a Windows PC product first and foremost. It is not to be confused with Microsoft’s other handheld, which is expected to be an in-house-developed Xbox device. This ASUS partnership sounds like Microsoft is going to push its Windows gaming platform, Xbox Game Pass, and Xbox Play Anywhere as a big selling point.
This device is rumoured to retail for $499 and $599 with two SKUs available for purchase. It isn’t clear what the differences will be between the two. Likely a larger SSD. However, keep in mind that the current tariff war might see this product retail for a lot more than expected.
ASUS and Microsoft want this new handheld to sit in between the Steam Deck and Lenovo Legion GO, but the Xbox aspect of the device will be a big focus. This whole partnership likely means the product might be branded to look like an Xbox device, and Microsoft will influence the marketing and Xbox Play Anywhere mechanics.
It kind of sounds like Microsoft has just jumped on board with ASUS’ ROG Ally 2 plans, and the companies are working together to alter the handheld to be more “Xboxy”. This might test the waters for the future Xbox handheld product, which has been described as a portable Xbox Series X.
As all reports and rumours, take this with a pinch of salt for now. We’ll share any new information as we learn more.
Source: The Verge
