A new competitor in the handheld gaming market: Xbox handheld console coming from Microsoft and Asus

Microsoft is taking a significant step to gain a larger foothold in the handheld gaming market, pioneered by popular devices like the Nintendo Switch and Steam Deck. While plans for an Xbox-branded handheld console have been discussed for a long time, recent reports indicate that a partnership has been formed with Asus for this project.

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It is stated that Asus will play a significant role in the development process of Microsoft’s first Xbox-branded handheld gaming console. It had previously been claimed that Microsoft was working on a portable Xbox device in collaboration with its OEM partners. Recent leaks indicate that a model codenamed "Kennan" is being developed and could be released in 2025.

XBOX AND WINDOWS INTEGRATION

Microsoft’s handheld console strategy aims to make the Xbox and Windows ecosystems more integrated. In this context, it is suggested that Windows will be updated with a new user interface optimized for portable devices. This step aims to offer a more compatible experience for both players and developers.

MICROSOFT’S HISTORY IN PORTABLE GAMING

Microsoft is not new to the handheld gaming market. It had previously established a presence in this field by offering Xbox Game Pass Ultimate support on devices such as the Lenovo Legion Go, ASUS ROG Ally, and Logitech G Cloud. Xbox Gaming CEO Phil Spencer recently confirmed in a statement that the company is working on various device prototypes, but noted that it could take several years for this hardware to be released to the market.

WHAT WILL BE THE MARKET IMPACT OF 'KENNAN'?

While the device codenamed "Kennan" is expected to hit the market in 2025, and despite Microsoft not having made an official announcement, there is curiosity about what kind of impact this new device, to be developed in partnership with Asus, will have on the handheld gaming market. Especially in a market with strong competitors like the Nintendo Switch and Steam Deck, how an Xbox-branded handheld console will make a difference has already become a topic of discussion.