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Home » Latest Rumors on Microsoft’s Xbox Handheld: Featuring a Custom Low-Power AMD APU, Competing with Switch?
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Latest Rumors on Microsoft’s Xbox Handheld: Featuring a Custom Low-Power AMD APU, Competing with Switch?

By adminMay. 24, 2025No Comments3 Mins Read
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Latest Rumors on Microsoft's Xbox Handheld: Featuring a Custom Low-Power AMD APU, Competing with Switch?
Latest Rumors on Microsoft's Xbox Handheld: Featuring a Custom Low-Power AMD APU, Competing with Switch?
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Microsoft Xbox Handheld Rumors Resurface

Rumors regarding Microsoft’s potential launch of a self-designed Xbox handheld have resurfaced, with indications that it will feature a customized low-power APU developed in collaboration with AMD, rather than an ARM architecture. The aim is to enhance game compatibility and optimize the experience, with the goal of transforming the handheld gaming market.

(Background: Microsoft will support BTC, ETH, and SUI; Microsoft Fabric offers free integration for real-time on-chain data.)

(Supplementary Background: Michael Saylor urges Microsoft to buy Bitcoin quickly: U.S. bonds and stock buyback returns are too low, which is harming shareholders in the long run.)

Focus on Customized AMD APU

In the handheld gaming market, rumors about Microsoft potentially launching its self-designed Xbox handheld continue to attract attention. Recent reports suggest that, contrary to previous speculation regarding ARM architecture, Microsoft may engage in deep collaboration with AMD to develop a product referred to internally as the “real” Xbox handheld, featuring a customized low-power APU.

According to well-known tech leaker KeplerL2 on the NeoGAF forum, Microsoft is developing a “real” Xbox handheld. Notably, this device is said to utilize a customized low-power APU (Accelerated Processing Unit) developed in collaboration with AMD, rather than the ARM architecture previously speculated. The core characteristics of this customized APU are its “low power consumption” and “design optimized for handhelds,” aimed at providing an outstanding portable gaming experience.

Significance of the Customized APU

The primary reason Microsoft has chosen to collaborate with AMD on the development of a customized APU may be to significantly enhance compatibility with the existing Xbox game library and address potential backward compatibility issues.

Compared to the technical challenges that ARM architecture may encounter when running Xbox games based on x86 architecture, AMD’s x86 architecture APU has significant advantages in this regard, ensuring broader game support.

This technological pathway will help Microsoft strengthen the appeal of its product when facing major competitors in the handheld market, such as Valve (Steam Deck), Sony, and Nintendo.

Differentiation Between In-house Development and Third-party Brands

It is important for players to note that Microsoft’s self-developed Xbox handheld differs from the Xbox-branded or Windows handhelds currently offered by third-party OEM manufacturers such as Asus. For example, the upcoming successor to the Asus ROG Ally (rumored codename Project Kennan) is expected to feature the existing AMD Ryzen Z series APU.

These third-party handhelds typically focus more on a general Windows system gaming experience, while Microsoft’s self-developed handheld may concentrate on providing a deeply optimized integration with the Xbox gaming ecosystem and exclusive experiences. Multiple sources have mentioned the specifications of the next-generation Asus ROG Ally product, emphasizing the positional differences compared to Microsoft’s own handheld.

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