Microsoft’s ‘sidelined’ Xbox handheld has reportedly been cancelled

For years, Microsoft had been talking up the idea of releasing a dedicated handheld Xbox of sorts, with the company officially confirming such a device was in the works last year. Since then, insiders claimed that the device had been sidelined for now, with focus shifting toward improving Windows for gaming. With the ROG Xbox Ally having now been announced, it appears as though all plans for the internally-developed console have been cancelled.

Following the reports a couple weeks ago by Windows Central which claimed that “Xbox's first-party handheld has been sidelined (for now), as Microsoft doubles down on [ROG Xbox Ally] and Windows 11 PC gaming optimization,” new leaks have surfaced, stating that the handheld has now been cancelled entirely.

According to known industry insider Tom Warren via The Verge (paywalled), the recently sidelined internally-developed Xbox handheld has reportedly been “essentially canceled as the company focuses on Xbox's new software platform.”

No reason was given for the cancellation, but according to the report, Microsoft is planning to further develop its partnership with hardware manufacturers – suggesting that “we'll see next-gen Xbox hardware from Microsoft, but I also strongly believe we'll see multiple devices from PC makers like Asus that will also be considered next-gen Xbox consoles.”

Following generations of relatively standard console release strategies, Xbox seems to be throwing the entire guidebook out the window. It will be interesting to see if and how this shakes up the industry.

Discuss on our Facebook page HERE.

KitGuru says: What do you think of the ROG Xbox Ally? Were you looking forward to the Microsoft-developed handheld? Will Microsoft ever make their own Xbox hardware again? Let us know down below.

Become a Patron!