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Microsoft has put an Xbox handheld plan on hold to focus on optimization of Windows 11 PC gaming.
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Despite an internal shift in priorities, Microsoft is still investing in developing its own Xbox portable.
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Sony also reportedly works on the PS5 handheld to counter Nintendo’s Switch, but has been away for years.
Last year, Xbox Division boss Phil Spencer confirmed he is working on a portable gaming device. Rumors have been rising about portable Xboxes since then, with reports suggesting that they are scheduled for release this year.
If that’s exciting, be prepared to deflate the excitement as the latest report states that Microsoft’s priorities are changing and affecting the release of the Xbox handheld.
Xbox Handheld is pending planning because MS wants to focus on Windows 11 PC Game Handheld optimization
The latest report comes from Microsoft Leaker Jez Corden. Microsoft has not abandoned its Portable Xbox plan, but is placed on the backburner because it wants to prioritize improving Windows 11 gaming performance on portable devices like Asus.
According to sources at Corden, Microsoft is “still investing heavily in” in the future to develop its own Xbox portable gaming device. Still, it was announced internally today that priorities have changed and for now it is heading towards the handheld of third-party OEMs (original equipment manufacturers).
For those who don’t realize it, Project Kenna is the codename for Microsoft’s partner Xbox Handheld, developed with ASUS. The device, which we reported last month, is expected to be released later this year. The hardware itself is said to be “finished”, but the software is still fine tuned.
A report from Corden also states that confusion regarding exactly what Microsoft’s handheld gaming devices are currently being answered.
Microsoft’s Xbox Handheld is developed to be a dedicated portable device that allows you to run full Xbox games, rather than a portable device that allows you to run Windows 11 PC games on the go. Microsoft is said to have “big ambitions” and has invested heavily to offer native Xbox portables, but is currently allocating resources. Thankfully, due to this shift, no mention of layoffs or types of layoffs within Microsoft is made.
Because, like unofficial reports, these are the types of things Microsoft doesn’t comment on.
With Sony reportedly working on a PS5 handheld console that rivals the Nintendo Switch, Microsoft isn’t the only one looking at dedicated portable gaming devices. However, this device is “a few years away” from its release.
Given how successful Nintendo is in the portable gaming market, I don’t blame Microsoft and Sony for hoping for that pie. Neither company has officially announced the future of portable games, but the Nintendo Switch 2 is expected to be released next week.
