Xbox handheld ‘sidelined’ as focus shifts to third-party portable consoles

Xbox’s own handheld console has reportedly been “sidelined” because the company wants to prioritise “improving Windows 11 for third-party handhelds” like ASUS’s ‘Project Kennan’.

Xbox’s first-party handheld console has reportedly been “sidelined”.

Microsoft is said to have been working on its own portable device as well as a third-party handheld with ASUS dubbed ‘Project Kennan’, though Windows Central has now claimed Xbox has shifted its focus away from its own portable console and toward “improving Windows 11 for third-party handhelds”.

According to the outlet, Xbox has shelved its first-party portable device for the moment, and is now prioritising its teams to optimise the operating system for ASUS’s ‘Kennan’.

Windows Central asserts Microsoft is “still deeply investing in developing its own Xbox gaming handheld technology in the future”, though the company is currently focused on improving the software for third-party handheld devices to ensure it can compete effectively with Valve’s Steam Deck and SteamOS.

Xbox boss Phil Spencer previously teased the company was interested in moving into the portable gaming space.

He told IGN: “I think we should have a handheld.

“The future for us in hardware is pretty awesome, and the work that the team is doing around different form factors, different ways to play, I’m incredibly excited about.”

When asked whether a potential Xbox handheld would be cloud-based or could allow offline play, he said: “I think being able to play games locally is really important.”

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