With less than a week to go until the ROG Xbox Ally handheld launches, new reports have surfaced detailing how Microsoft's own Xbox handheld was cancelled earlier this year. Granted, we're still getting to play much of the Xbox catalog on the go soon, but many were hoping for a dedicated Xbox handheld that could also play games exclusive to the platform. However, the gaming industry is a business, and this report points to a demand from fellow tech giant AMD as the final nail in the coffin of the rumored Microsoft handheld.
In a post on the gaming forum NeoGAF, user KeplerL2 revealed that the Xbox handheld was shelved due to AMD's request. "AMD wanted a commitment of 10m+ units to justify making a dedicated SoC (CPU), but with Steam Deck only selling (under) 5 million units and ASUS ROG/Lenovo Legion only selling 1-2 million, Microsoft didn't want to take the risk." This explanation makes a lot of sense, as while we're big fans of Valve's console and the many Steam Deck alternatives, they haven't sold nearly as well as something like the Nintendo Switch.
KeplerL2 continues in the thread, stating that the handheld was in early development and was meant to be a device similar to what Sony is allegedly planning for its PS6 handheld. Though leaker Jez Corden disputes KeplerL2's claim, the reasoning behind Microsoft allegedly pulling the plug is pretty reasonable.
Back in May, we had heard that the Xbox handheld was also cancelled because Microsoft wanted to focus on ensuring Windows could work as a gaming operating system, similar to Valve's SteamOS. We're only now seeing the fruits of that already, with the 'Full Screen Experience' shipping with the Xbox Ally handhelds. This is a new way of browsing all of your installed games, like the best Steam games, without having to use Windows 11 itself.
Nevertheless, we're about to see the ROG Xbox Ally debut very soon, as well as the Lenovo Legion Go 2, and soon, the OneXFly Apex. We're about to see which of these devices could appear in our best handheld console list, so keep a lookout to see if Microsoft's first foray into this space will make it in.
In the meantime, check out our guides to the best gaming phones and the best gaming tablets if you're looking for something to tide you over until the Xbox Ally handheld arrives next week. Or, if you're looking for something new to play, see our guides to the best Switch games and the best mobile games.