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Microsoft Reportedly Collaborating With OEMs On Its Xbox Handheld

by Thora.Hansen


Microsoft is reportedly working with a PC gaming OEM to develop its Xbox-branded gaming handheld, currently codenamed “Keenan.” According to Windows Central, the handheld will bear a distinctive Xbox aesthetic, featuring an official Xbox guide button and design elements consistent with the brand. If plans proceed as expected, the device is slated for release in late 2025, it added.

A mockup image provided by Windows Central suggests that the device will resemble the ASUS ROG Ally, though the specific OEM involved in the project remains unknown. Given the nature of the partnership, it is anticipated that Keenan will function more as a PC gaming device rather than a dedicated Xbox console. Reports indicate that the handheld will run a full version of Windows, integrating the Microsoft Store and PC Game Pass while also supporting third-party platforms like Steam.

Steam Deck Microsoft handheld console Steam ValveSteam Deck Microsoft handheld console Steam Valve

One of the key focuses of the device is expected to be the implementation of Windows 11’s “device-aware” capabilities, aimed at enhancing the user experience on handheld gaming systems. Additionally, the handheld is expected to mitigate the presence of third-party OEM bloatware, which has been a common issue on competing devices such as the Lenovo Legion Go and ASUS ROG Ally. Microsoft may also integrate widgets within the Xbox Game Bar for managing power settings, fan speeds, and other system controls to improve usability for controller-based navigation.

I’ve seen the report about Microsoft’s Project Keenan, and just to be clear there is no first-party “Xbox handheld” arriving in 2025. Keenan is part of PC gaming handheld work with OEMs, like Microsoft’s VP of Next Gen told us at CES www.theverge.com/2025/1/7/243…

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— Tom Warren (@tomwarren.co.uk) March 11, 2025 at 5:09 AM

Following Windows Central’s report, The Verge’s Tom Warren weighed in, suggesting that Keenan may not be a first-party Xbox handheld but rather part of a broader initiative supporting PC gaming handhelds in collaboration with OEMs. Warren referenced a previous report by his publication in which Microsoft’s vice president of next-generation gaming, Jason Ronald, discussed the company’s strategy during CES 2025.

ASUS-ROG-Ally-X-Review-1ASUS-ROG-Ally-X-Review-1

With differing perspectives emerging, Microsoft’s exact role in the development of Keenan remains uncertain. While Windows Central’s report hints at a potential Xbox-branded handheld, Warren’s argument aligns with Microsoft’s recent efforts to refine the Windows experience on portable gaming devices.

(Source: Windows Central / Tom Warren, via Bluesky)

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