Microsoft has officially confirmed that a next-generation Xbox console is in development, doubling down on its hardware ambitions with a broader vision that now includes handhelds, PC, cloud, and accessories.
Xbox president Sarah Bond revealed the news in a video update, framing it as part of a strategic, multi-pronged investment into the future of the Xbox ecosystem. The company is laying the groundwork for a more flexible and connected gaming experience.
Powering this next wave of devices is a renewed partnership with AMD. Microsoft and the chipmaker will co-engineer custom silicon for upcoming Xbox hardware under a multi-year deal, continuing a collaboration that has fuelled previous Xbox generations. The arrangement reinforces AMD’s status as Microsoft’s go-to silicon supplier in a landscape where hardware efficiency and performance are crucial for both local and cloud-based gaming.
Earlier this month, Microsoft unveiled its first Xbox-branded handheld devices, dubbed the ROG Xbox Ally. These devices, produced with Asus, aim to make Xbox’s library portable without compromising on power or interface familiarity. Button layouts resemble standard Xbox controllers, while the form factor stretches out to accommodate full-centre screens.
While pricing and release timelines for the handhelds remain under wraps, Microsoft says they’ll hit shelves by the end-of-year holiday season. Until then, it’s clear the company is steering the Xbox brand beyond the living room, retooling it as a hardware-software-service ecosystem built to meet players wherever they are.
