Late last year, Phil Spencer, the CEO of Microsoft Gaming, mentioned that an Xbox handheld gaming device was still quite a distance away from hitting the market. Despite that, other companies have been hard at work, and it looks like Microsoft is on board with these efforts. Sources from The Verge suggest that Microsoft’s mission to unify Xbox and Windows as one seamless platform is progressing, with Asus stepping in as one of its launch partners. This collaboration has led to Asus working on an exciting new project, codenamed Project Kennan, which is a gaming handheld that might just debut this year, taking advantage of Microsoft’s ongoing developments.
On top of the work that Asus is putting in, Microsoft is focusing on Project Bayside. This initiative aims to standardize the Xbox user interface across various devices. The interface will effectively run on the handheld Asus is creating, built on a Windows framework but with a distinct Xbox twist. Both Kennan and Bayside are central to Microsoft’s vision of marrying the strengths of Xbox and Windows into a unified ecosystem.
Jason Ronal, who oversees Xbox gaming devices and ecosystems as a vice president at Microsoft, shared with The Verge that their main focus this year is on this crucial integration. While rumors have stirred excitement, neither Microsoft nor Asus has made any official announcements or teased what’s coming next, leaving us all in suspense.
Valve sparked a resurgence in the world of handheld gaming when it released the Steam Deck in 2022. For now, Microsoft has an edge, as the top choices for PC gaming handhelds have been largely driven by Windows 11. However, the dynamic might shift soon with Lenovo’s announcement of the Legion Go S, which is powered by SteamOS. Currently, you can grab a Lenovo Legion Go S with Windows 11 for $729. But here’s the kicker—the SteamOS version expected in May is set at a more budget-friendly $499. Lenovo is also planning to release a cheaper Windows version around the same time, priced at $599, but the $100 saving might tempt gamers toward the SteamOS variant.
These developments are likely grabbing Microsoft’s attention, especially since one of its major long-standing partners is bringing a popular alternative operating system into the mix in May. This move signals Valve’s intent to rival Windows with SteamOS. Given that Microsoft is already facing stiff competition from the PlayStation 5, it’s likely eager to avoid another challenger in the handheld sector. To keep its grip on the market, Microsoft will need to make strategic moves to ensure that Xbox and Windows remain the go-to systems for handheld gaming devices.
