The rumoured Xbox handheld device is starting to take shape. According to Xbox insider Jez Corden on Windows Central, Microsoft is nearing completion of an Xbox handheld, and will be released next year. Corden's sources are usually very reliable, so it's safe to assume that - unless there's a delay - a Xbox-branded gaming handheld will launch in 2025. And while the days of dedicated handheld consoles are over, Corden insists that this will "look unmistakably Xbox", with an official Xbox guide button and "Xbox design sensibilities".
Bear in mind that this handheld Xbox is being developed in partnership with another company, and will be more similar to the likes of Steam Deck, Lenovo Legion or Asus ROG Ally. It will be a PC-oriented device, likely running on Windows with support to the Microsoft Store and PC Game Pass, and the possibility to install other storefronts like Steam.
However, we are curious to see how Microsoft will brand this device with "Xbox design sensibilities", given their recent tactical approach of downplaying their console offerings in favour of gaming services like Game Pass and cloud gaming (remember the "You Don't Need An Xbox To Play Xbox" motto in 2024?).
The truth is that Microsoft is not giving up on consoles, and this same report from Jez Corden also says that the new generation of Xbox consoles is in full development, with a tentative release date of 2027, and will also support backwards compatibility with legacy Xbox games. Xbox hardware has a bright future ahead.