In the fast-changing gaming world, Microsoft’s actions are taking the industry towards a more integrated and responsive ecosystem. At the center of this vision is the creation of a handheld console, codenamed “Project Kennan,” in partnership with ASUS, to be released in 2025. The project is aimed at merging the Xbox experience with Windows seamlessly, providing gamers with an integrated experience on devices.
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Project Kennan: Unifying Xbox and Windows
Project Kennan is the dream of Microsoft to bring the greatest of Xbox and Windows together in a single, streamlined interface. The console Microsoft is working on with ASUS is said to be Xbox-like in design, including the guide button of the Xbox, now iconic, on top of a Windows base. This integration is said to enable a combined library of Xbox and PC games, making it easier to access while having a larger ecosystem for gaming.
Reports show that Project Kennan will support PC Game Pass and the Microsoft Store and offer third-party app installation, such as Steam. The goal is to deliver an end-to-end, customizable gaming experience for gamers to fill the console and PC gap.
Role of ASUS and the ROG Ally Evolution
ASUS’s entry into Project Kennan is a logical extension of its creation of the ROG Ally series, a series of Windows 11 gaming hand-held devices. The ROG Ally, based on AMD’s Ryzen Z1 processors, provides handheld gaming with the benefit of a PC. Its features include a 7-inch touch screen, ergonomically shaped controls, and the ability to hook up to external displays, essentially both as a hand-held console and desktop gaming machine.
The success of the ROG Ally has put ASUS in a very good position to become a leading contender in the handheld gaming space and, as such, a good partner for Microsoft’s Project Kennan. The partnership will be able to combine ASUS’s hardware prowess and Microsoft’s software expertise to create a product that is the world’s best.
Project Bayside: One User Experience
Complementing Project Kennan is Microsoft’s Project Bayside, a project designed to provide a unified Xbox user interface for different hardware. The platform looks to simplify the gaming experience through effortless transitions among console, portable, and PC platforms. Standardization of the user interface is Microsoft’s objective, with an expectation of simplifying game development and improving user convenience irrespective of the device being used.
Project Bayside represents Microsoft’s dream of a single, unified gaming universe, where games and services play seamlessly across all platforms. Project Bayside will likely be central to bringing Xbox and Windows together, shattering once and for all the divide between console and PC gaming.
Next-Gen Xbox Consoles: A Glimpse of 2027
In addition to the handheld console, Microsoft is also developing the next Xbox consoles, which are due to release in 2027. The new consoles will have more integration with Windows such that game development and maintaining backward compatibility with current games is simplified. This is part of Microsoft’s overall strategy of building a gaming platform around accessibility, cross-platform play, and effortless device switching.
What to Expect from Microsoft’s Handheld Xbox
Microsoft’s anticipated handheld gaming console, under-reported Project Kennan, will likely draw inspiration from current handheld consoles such as Valve’s Steam Deck and ASUS ROG Ally. Although definitive hardware specifications are yet to be confirmed, some things can reasonably be deduced, given Microsoft’s approach and industry trends:
Windows Integration and Game Pass Compatibility
One of the biggest advantages of Microsoft’s handheld is that it will be part of the Windows ecosystem. Unlike the Steam Deck, which will have a Linux OS, this handheld will reportedly run Windows, which will allow users to install and play not just Xbox games but also PC games from retailers like Steam, Epic Games Store, and GOG.
Xbox Game Pass would probably be one of the most compelling selling points, with access to a huge library of games anywhere. Cloud gaming supports an added feature so that game streaming is possible without the need to buy expensive hardware.
Custom Hardware and Performance
Microsoft can work with AMD to create a gaming APU (Accelerated Processing Unit), seen in the Xbox Series X|S and other portable consoles such as the Steam Deck and ROG Ally.
Potential specs may be:
- A high-refresh-rate screen (likely 1080p at 120Hz)
- LPDDR5 RAM for enhanced performance
- SSD storage for fast loading times
- A power-saving battery to offer prolonged gaming sessions
Because handheld gaming devices are more popular, Microsoft will need to strike a delicate balance between performance and battery life.
A Seamless Xbox Experience
In an effort to make the handheld feel like a real Xbox device, Microsoft is working on Project Bayside, which will unify the Xbox UI across every device. What this means is that gamers can expect to enjoy the Xbox dashboard they know, such as:
- Quick Resume to seamlessly switch between games
- Xbox Cloud Saves for cross-play
- Native support for the Xbox Store
This would allow for a seamless transition for Xbox users from a console to a handheld without losing on features or progress.
Competition with Steam Deck and Other Handhelds
Microsoft’s handheld will be going up against current devices, such as the Steam Deck, ASUS ROG Ally, and Lenovo Legion, out of necessity. If anything, though, its strongest selling point is its deep connectivity with Xbox services and Game Pass. While the Steam Deck does support Windows installation, it does not have native Xbox features, such as Quick Resume and native Game Pass integration.
If Microsoft can provide a device that is as much a real “Xbox on the go” as is humanly possible, then it might well entice gamers to enjoy the console experience in portable form.
Potential Issues for Microsoft Handheld
An Xbox handheld is a great concept, but Microsoft has a couple of issues they need to deal with:
1. Pricing and Market Competition
The Steam Deck begins at $399, and the ROG Ally costs more because of its high-end specs. Microsoft needs to price its handheld just right so it is competitive but gives it the differentiation that will make it stand out.
The handheld is priced too high if it is going to be overshadowed by alternatives. Too low, and it won’t give the premium Xbox experience that individuals desire.
2. Battery Life and Cooling
Battery life is a concern with handheld game players, particularly with PC games of high caliber. Power management will have to be balanced against performance by Microsoft.
Cooling solutions would also be of prime importance. Handheld consoles emit a lot of heat, and proper thermal management will have to be ensured to avoid performance throttling.
3. Software Optimization
Windows is a capable OS, but out of the box, not handheld gaming-ready. Microsoft will have to optimize the user interface so that the UI is touch and gamepad-friendly without the baggage of a full Windows PC.
An optimized “handheld mode” for Windows, akin to SteamOS on the Steam Deck, might be the ticket.
The Road to 2025: What’s Next for Microsoft?
With release rumors already circulating in 2025 for Microsoft’s next console to be portable, we can expect more concrete information soon. Gaming conventions such as E3 (if it returns), Gamescom, and Xbox Showcase events will surely reveal more about the project.
Potential Announcements to Watch Out For
- Official hardware reveal: More looks at design, specs, and features
- Price and release timing: How it will stack up against the Steam Deck and ASUS ROG Ally
- Game Pass optimizations: Possible handheld optimizations for future gaming
- Exclusive handheld features: Integrations of native Xbox ecosystem
As next-gen Xbox consoles arrive in 2027, Microsoft can essentially utilize this handheld console to test new technology and software optimizations ahead of time.
