Rumor: Microsoft Working with PC Gaming OEM to Release Xbox-Branded Gaming Handheld in 2025 - News
by William D'Angelo , posted on 10 March 2025 / 3,064 Views
A new rumor has surfaced that claims Microsoft is working with a PC gaming OEM on an Xbox-branded gaming handheld, according to sources who spoke with Windows Central.
The gaming handheld, codenamed Keenan, will be "unmistakably Xbox" with an official Xbox guide button and a design with Xbox sensibilities. It is expected to be more PC-oriented and likely will run a full version of Windows with a focus on the Microsoft Store and PC Game Pass.
The sources also state the next-generation Xbox has been fully greenlit up to CEO Satya Nadella and will feature two consoles. This includes a premium successor to the Xbox Series X and Microsoft's own Xbox gaming handheld. The new consoles will reportedly release in 2027.
A life-long and avid gamer, William D'Angelo was first introduced to VGChartz in 2007. After years of supporting the site, he was brought on in 2010 as a junior analyst, working his way up to lead analyst in 2012 and taking over the hardware estimates in 2017. He has expanded his involvement in the gaming community by producing content on his own YouTube channel and Twitch channel. You can contact the author on Bluesky.
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Would be pretty funny if this ends up being the way Xbox goes "third party" lol
Imho, this is another handheld PC and it's gonna make handheld PC numbers.
Sure, the Xbox name will help move some units, but i will be surprised to see this crossing the 10M mark.
Depends what their Target goal is. They might have similar targets to the Steam Deck.
Steam Decks is at ~4M atm, life time is sure to be under 10M.
I don't think Xbox Handheld can do much better than Steam Deck. Imho, these are very weak numbers.
Depends what how many they plan to produced. Valve didn't produce many Steam Decks and weren't even sold world wide.
Sales won’t really matter if they’re not being sold at a loss. Surface sales are among the lowest in the laptop market, yet MS still makes them. Satya somehow has regrets pulling out of the mobile market even though we know how poorly Windows Phone was. Microsoft is happy with niche hardware. Just as long as they’re not subsidized.
There’s always going to be a core Xbox player base that will always buy the hardware. We just need to stop thinking of Xbox in terms of hardware sales as success. They’re clearly abandoning that business model.
You just said my comment was embarrassing for saying that Xbox as a standard console is dead, but here you are saying exactly what I was getting at, "We just need to stop thinking of Xbox in terms of hardware sales as success. They’re clearly abandoning that business model." So it's standard console strategy is dead then? Without that strategy, Xbox will also die
It is just a PC handheld, DOA. We already know how many of those have sold, good luck MS. The company that literally keeps throwing shit at the wall until one finally sticks. Give it up already.
You make it sound like a PC Hand-held is a bad thing. It's ok Matt, you don't have to buy it. You act like you are forced.
Thats true but take care when you say that! The truth hurts some people here! We can spin it around like we want but 3,7 million is nothing to be proud on even more when the SD starts at ~500$. If Sony and MS clearly say that they refuse to get in a direct race with Nintendo and make digital only devices like the SD, Rog Alley... (and ot seems like thats what both will do) they can compete with the PC "handheld" market, the Switch 2 will be far to much ahead at the point when they launch, let alone the current Switch!
Why do they need to outsell the Switch? Maybe that isn't the target. MS release games on the Switch and will on the Switch 2. They make money either way.
Its like in a war. You have to cooperate with the winner or you get destroyed.
It's videos games lol
In some way it is a war. Its a competitive market. Sega had to cooperate. If they where stubborn,as a company they would have gone the way of the Dodo. If there is a real war, the looser nations have to cooperate with the winnog o es or they get extinguished!
This is actually aa smart strategy, especially if they can additionally provide access the Steam OS/ store as well as provide full access to the pc gaming library.
People really don't give Nintendo enough credit for the influence they have had on the industry. I know they're leading it right now, but even when they're not (N64 analog sticks), their competitors seem to look at what they're doing constantly and react. It's crazy.
I think that's giving them a bit too much credit, seeing as how they've been following the mobile industry with their own additions/apps that are attached to that kind of market.
I think there's some kudos to give to mobile gaming, much as I dislike it, it has definitely had some world-wide influence on many big tech companies.
This seems like the most basic, easy thing to do. Take an ROG Ally X, paint it black, slap an Xbox logo button on it, make sure the Xbox app is preloaded and it comes with 3 months of Game Pass. That is literally exactly what I am expecting.
Will it surpass the Steam Deck or will it surpass all pc handhelds 2022- 2024 (6 million)?😀
As a digital only handheld no match against the Switch.
I don't really see it doing all that much tbh.
People liked the Deck because of it's emulation purposes and functionality and tweaking, as well as the track pads.
MS's handheld is likely to focus on WIndows/Gamepass, which means less tweaking ability, less to do with the system and I'm not even sure they will focus on track pads. It will be aiming at a different demographic within the handheld market.
MS has hinted at much more functionality than what you are suggesting with the ability to use Steam and other apps. Jez also points to this with this rumors. Too many signs pointing towards being an Xbox branded open platform.
What extra added functionality are we talking about, besides being able to boot up Steam or Xbox app/GP?.
What extra edge are they going to have over not only the Deck, but every other handheld on the market?.
Having the ability to use two different apps is the barebones default for these handhelds, just to make that clear. Any handheld that isn't the Switch would get docked points for not supporting that kind of basic functionality.
You said it would focus on Xbox apps, which I replied it likely will do more like supporting Steam. I couldn't tell you what else it will offer since nothing official has been confirmed. One thing it could do to make it better than other PC handheld devices is make Windows 11 more handheld friendly which is something I believe they have mentioned they are working on.
That's why I asked, because the way you phrased it entailed much more.
"MS has hinted at much more functionality than what you are suggesting"
"Much more" means what it means. Adding "It can run Steam" is 1 more, not much more. I just wanted to point that one out.
Well considering how Windows 11 likes to hide a lot of options from public view (as has been tradition since Windows 8), I shall remain sceptical.
I get what you are saying. I should have been more selective with my wording. It could allow access to the Epic store, along with access to other apps. I only gave 1 example because that is the one most commonly mentioned.
That's fair.
Well, why do you want it to surpass all handleds sales together? That's very unrealistic.
As far at least having equivalent sales to let's say the Steamdeck or the ROG Ally. I would think that they can definitely achieve that as the market is still young for this kind of device and having it branded Xbox (with some special support) + running Windows 11 (and virtually being able to play all PC games) is going to make it a very attractive device even for people not interrested in an Xbox specific handled.
I do not say that i "want it to surpass the Steam Deck/ other PC >handhelds<", just that they would need at least PSP- GBA (3DS) level of sales to get a relevant piece of the market cake and get revelvant for thirds. But as a digital only device and no exclusives i just can't see that! Yes it could be in the ballpark of 5- 10 million LTD max (and even that highballing) but againt te Switch it will be chanceless! Even the rumored PSV2 (PSP3) will outsell it despite the fact it will be digital only as well!
They don't need to aim for Switch numbers, let alone ancient handhelds.
Valve so far have been happy with their Deck sales, and just like Nintendo likes to live in their own personal bubble sphere, so does Valve, in that they do what they want and be happy with what they make.
MS will likely sell their handhelds and see what sells before giving their own take on their own sales metrics. You have to remember, this isn't a lil ol "console race", where you have to make bar go up to beat out the other guy. It's all about the ecosystem and supporting the markets you have/interweaving multiple markets into your own ecosystem.
Again, MS isn't in the exclusives dept, and I already explained this to you about the Deck and the other 3rd party handhelds. None of them are nor will function like Nintendo does, nor should they.
Pretty wild if true. I don't think many were expecting this so early.
Rumoured Hand-held in 2025 and next gen hardware in 2027? But the internet keeps telling us Xbox is dead.. crazy.
Also full operating Windows could mean Steam access which we all know what that means
They're just OEM Xbox Branded handhelds and PC's. Proving that Xbox as a standard console is dead.
Xbox has already confirmed they are making their own hardware as well. Nothing says dead like making more hardware and supporting your own platform with more hardware choices.
You just cannot stop it. And I do not think you understand the definition of "proving" or what a "proof" is...
Xbox as standard console is not dead, they already confirmed that they are working on the next iterrations (and they also mentionned more than one if I am not mistaken) but even then, only in this very article you are replying with your non-sense, it says that the next gen hardware from Xbox has been greenlighted... I mean... Come on lol
Is Xbox console going to be getting a big chunk of the marketshare? Probably not as this is definitely not Microsoft strategy anymore, but it is not dead (unless you chose to ignore what they are saying but at this point there is no argument it is just speculations up in the air, not "proof").
Not to mention, who said it was "just" an OEM branded PC? There is a lot of other things, like the OS, the software in general or some other Xbox specific hardware (or configuration) that those device will come with. Etc..
Dude, just stop lol. I never really knew secondhand embarrassment till I saw one of your comments. You just can't help yourself.
Why? my comment was factually correct
The article on top of this page LITERRALY says "the next-generation Xbox has been fully greenlit up to CEO Satya Nadella and will feature two consoles."...
And your comment: "Proving that Xbox as a standard console is dead."
How on earth is that factually correct? At first, you did not know what "proving" meant, and now you do not understand what "factually" means either... Stop using words just because they sound cool :)
It's an Xbox branded OEM! It's not a closed platform so how does it even class as an XBOX ? It's an Xbox branded PC and that = Xbox standard console model = dead
OMG Dude... That's the abarrassment we are all talking about.
You did not even read the article until the end; which is probably why you still do not realize how your reply is wrong and not "factual" at all... This is hilarious at this point.
"The sources also state the next-generation Xbox has been fully greenlit up to CEO Satya Nadella and will feature two consoles. This includes a premium successor to the Xbox Series X and Microsoft's own Xbox gaming handheld. The new consoles will reportedly release in 2027."
It LITERRALY says that they are ALSO working on 2 new Xbox models for next generation. Not OEM branded...
Seriously, you need to stop at this point, this is really embarrassing now, and you keep going at it. You cannot help yourself.
Those will just be OEM Xbox branded PC's too. Isn't it obvious?
Sure. w/e bud.
Thats like saying Windows is MS because its an open sourced OS.
Damn, I was hoping for some xbox os and BC support but I guess that's just too advanced for a run of the mill device.
You don't believe they will offer BC? They are the drivers for BC for two generations
"The gaming handheld, codenamed Keenan, will be "unmistakably Xbox""
Is he sure? Microsoft seems to be mistaking anything connected to the internet for Xboxes these days.
Anyway, if they release that thing this year then it's dead on arrival, the hype for the Switch 2 is gargantuan, and Xbox handheld is not something in anyone's minds save by a few fans.
Well of course it's not in anyone's minds. It's still just a rumor that only enthusiasts like ourselves are aware of. Nobody is expecting an Xbox handheld to make huge waves. This will be mainly to test the market.
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