Microsoft and Asus Might Make the Xbox Handheld a Reality


Those rumors about Microsoft making it own Xbox handheld may have been hasty, but we could see the Xbox version of SteamOS instead.

Microsoft has been annoyingly hesitant to offer a version of Windows that pairs well with an 8-inch screen. Now, the latest rumors suggest we may finally get cross-integration between Xbox and Windows built specifically for handhelds, and none other than Asus could act as a torchbearer for a new generation of console-like handheld gaming akin to the Steam Deck.

Earlier this week, Windows Central reported that Microsoft plans to unveil its gaming handheld this year. On Wednesday, The Verge confirmed some aspects of WC’s reporting but also offered its own conjecture about Microsoft’s future plans. According to the report based on unnamed sources close to Microsoft, the Xbox handheld is called Project Kennan (Windows Central called it “Keenan”), but instead of being manufactured by Microsoft itself, it’s being made by Asus.

The new Asus handheld will have Xbox branding, and Windows Central mentioned that such a handheld could even include a built-in “X” button, which you would find on the Series X console. As for ergonomics, we imagine it could bear a semblance to the company’s current ROG Ally design. We can also expect it to use a new chip like the AMD Ryzen Z2 Extreme. We caught our first glimpse of that new handheld-centric APU back at CES in January.

Asus is the company that made the ROG Ally and ROG Ally X—the latter being our favorite big-budget handheld. Do you know who is also a fan of the Ally? Xbox CEO Phil Spencer. He said as much last year in an interview with IGN. It only makes sense for the two companies to partner up. It’s a similar situation with Valve and Lenovo. Steam’s owners opened its SteamOS platform for the upcoming Lenovo Legion Go S. There’s a version with Windows already available, but the SteamOS rendition should be included later this year.

This supposed Asus handheld will still be Windows-based but with an Xbox UI papered over it. The Verge noted this would be a “common Xbox UI” across multiple types of devices. We can assume this would be similar to the current Xbox app, which did receive a slight redesign last year to better work on handheld. The real question is whether it would also play nice with the variety of other game launchers, like Steam or Epic Games Store. Since it’s still Windows, we can assume you’ll also be able to access any other apps for your game emulation needs.

According to The Verge, that new UX, dubbed “Project Bayside, ” is supposed to create a more console-like experience for handhelds or any other devices with the combo Xbox-Windows framework. That could include an app store specific to its games. If Microsoft wants to have a storefront as popular as Steam, it could be looking to make Xbox the “default” experience you get across the variety of OEM handhelds from the likes of Lenovo, Asus, MSI, and more.

Windows Central’s report also noted Microsoft’s plans for a console follow-up from the Xbox Series X/S. The next-gen hardware may arrive in 2027 and might be more like a PC than a traditional Xbox. That would make sense, as Microsoft would only have to use its new UX. The outlet mentioned that the console could even incorporate third-party game storefronts, including Steam.

If you want to imagine the possibilities of an Xbox handheld, you could look at this DIY design, which cuts down an original Xbox board to fit inside a handheld shell along with a screen. We hope Microsoft’s eventual design isn’t as chunky, but you know what would really get nostalgic gamers going? Bring back the black-and-white buttons.



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