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Microsoft Teams Up with Asus for Xbox Handheld Launch

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Microsoft is reportedly developing a gaming handheld device under its Xbox brand, collaborating with an original equipment manufacturer (OEM) partner. Earlier reports suggested that the Xbox handheld, codenamed “Project Keenan,” would launch in 2025. However, recent information indicates that this device will not be proprietary Xbox hardware but rather a partner product manufactured by Asus. The new report identifies the project as “Project Kennan,” clarifying the correct spelling. This handheld is expected to symbolize Microsoft’s strategy to merge Windows and Xbox gaming experiences, featuring a redesigned user interface similar to that of Xbox consoles.

Asus to Produce Xbox-Branded Handheld

The insights come from Tom Warren of Technology News, who shared details in a report released on Wednesday. He stated that Microsoft’s gaming strategy for 2025 and beyond is centered around harmonizing Windows and Xbox experiences. According to sources close to the situation, the handheld device set to debut later this year is part of a comprehensive initiative to establish a universal library of games for both PC and console platforms.

Asus, a Taiwanese manufacturer known for its line of Windows-based gaming handhelds, including the ROG Ally, is behind the construction of this device. The internal name for the project remains “Project Kennan,” correcting earlier claims made in another report.

The Xbox-branded Asus handheld is anticipated to launch later this year. It will operate on Windows, equipped with a customized interface resembling that of an Xbox console. The broader platform intended to unify Xbox and Windows gaming experiences is reportedly codenamed Project Bayside, aiming to integrate the Xbox interface across Windows devices.

The overarching goal is to facilitate Xbox games on various devices, allowing for a consolidated storefront and library for PC and Xbox games that work seamlessly across Xbox consoles, Windows PCs, and handheld devices.

rog ally x 1717481829902 rog ally x

The Asus ROG Ally X seen at Computex 2024

Details on Project Kennan

Windows Central has also corroborated Technology News’s findings, stating that the handheld device is indeed being produced by Asus and is codenamed “Project Kennan.” According to this source, the design will resemble the ROG Ally but will incorporate Xbox design elements, such as more pronounced grips and an Xbox guide-style button.

Being Windows-based, the handheld will support multiple game storefronts and launchers, including Steam, Epic Games Store, GOG, the EA app, and Ubisoft Plus. Initial pricing estimates for this Xbox-branded Asus handheld range between $499 and $599 (approximately Rs. 43,400 to Rs. 52,000), with plans for two distinct models. The device could potentially be unveiled this summer with a subsequent release later in the year.

Neither Microsoft nor Asus has formally announced the Xbox-branded gaming handheld. However, Microsoft Gaming CEO Phil Spencer has expressed interest in the concept. He has indicated that the company is aiming to introduce its own handheld device in the future.

In a November 2024 interview with Bloomberg, Spencer revealed that prototypes for such a device were in development. He mentioned that his team was tasked with conceptualizing the handheld’s vision based on market insights, although he anticipated that a dedicated Xbox handheld would be a few years away from realization.

Microsoft Teams Up with Asus for Xbox Handheld Launch
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