As a tech writer, I’ve witnessed numerous “what if” gadgets come and go. However, one enduring idea that keeps making its way into the rumor mill is the concept of a handheld Xbox. For over two decades, the notion of Microsoft creating a portable gaming device to rival the Game Boy or PlayStation Portable has circulated, but much like its predecessors, it never materialized. Still, the idea persists. Why? Because Valve’s Steam Deck has proven that there’s a market for PC gaming on the go, and that success has had a ripple effect on the industry.
The Steam Deck’s unexpected success has sparked a wave of similar devices from companies like Asus, MSI, and Lenovo, which leverage the same AMD hardware but run Windows. Microsoft has partnered with these companies, and that might be fueling renewed speculation about an Xbox handheld, especially since the Steam Deck has shown the viability of portable, powerful gaming on the go.
However, according to Xbox head Phil Spencer, the idea is still in the experimental phase. Microsoft is working on prototypes but is not likely to release a handheld console in the near future. Instead, Microsoft is focusing on enhancing the Xbox app for low-power portable devices, optimizing the Game Pass experience on smartphones and tablets. So while the dream of a portable Xbox might be appealing, it seems that it will remain just that—at least for now.
Looking at the larger market, it’s clear why Microsoft might be cautious. The Steam Deck, while successful, has sold only a few million units, a far cry from the Nintendo Switch’s 150 million units sold. With such a massive gap in sales, Microsoft may be wary of venturing into a market where it risks taking a significant financial hit. Instead, it makes more sense for companies like Valve and Asus to take the lead, with Microsoft refining its existing gaming services. If you’re eager for portable gaming, your best bet is to invest in a Steam Deck, ROG Ally, or simply enjoy streaming through Game Pass.