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Microsoft reportedly releasing an Xbox handheld in 2025, next-gen consoles in 2027

xbox

Microsoft's Xbox hardware has a tendency to leak quite often, and with the current generation hardware now nearing its fifth anniversary, it's clear that its hardware division must be preparing some next-gen offerings. A new report has now landed that lines up with some previous rumors of hand-held offerings and a next-gen Xbox.

According to Windows Central's Jez Corden, some Microsoft sources have confided in him that an Xbox-branded handheld, built for native PC gaming, is finally coming out in 2025, if current targets are hit. However, this is said to be a collaboration with a major gaming OEM brand like Lenovo, ASUS, or MSI and not an internally developed project.

Reportedly being developed with the codename Keenan, this handheld is said to have the iconic Xbox look despite its third-party development. If the report is accurate, this may be pushed to PC gamers as an easy-to-use Windows device for accessing PC Game Pass and Microsoft titles on the go. Being a full-fledged Windows PC though, it should have no issues installing other stores too.

At the same time, Microsoft is reportedly continuing its own Xbox handheld development internally. This first-party hardware project is said to be aiming for a 2027 release. Reports of Microsoft looking into a handheld Xbox began in 2024, but no details on the hardware inside these mystery devices have been leaked yet.

ASUS ROG ally
ROG Ally

Next, the latest report states that the next console generation of Xbox that Microsoft is developing is now fully greenlit. Even CEO Satya Nadella has reportedly approved this hardware and design, which is said to be a successor to the Xbox Series X. Much like the first-party handheld, this is seemingly being released in 2027. Nothing has been mentioned regarding a newer Series S just yet, with the handheld taking that spot in the new generation. Moreover, new controller options are being tested by the company too, per the report.

As usual, take any reports with a grain of salt until Microsoft announces any new hardware developments. Even if accurate, projects tend to be canceled or delayed often.

Interestingly, if the 2025 Xbox handheld report turns out to be accurate, the third-party-built device will be going up against the Nintendo Switch 2.

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