Microsoft to Launch Xbox Handheld and Console by 2028

The company targets the 2027 holiday season for a new handheld device and 2028 for the Project Helix console.

Updated on Oct. 21, 2026 in Computers

Close-up of a matte-black sculptural gaming hardware chassis resting on a brushed metal surface in a modern, sterile laboratory. — Microsoft announced plans to expand its hardware lineup with a new gaming handheld and the Project Helix console by 2028. AI Illustration. Upload story photo >

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Microsoft is preparing to expand its gaming hardware lineup with a new Xbox handheld and the next-generation Project Helix console. The firm aims for consumer releases starting in the 2027 holiday season.

Why it matters

These upcoming devices represent a major shift in Microsoft hardware strategy by bridging the gap between traditional console play and portable PC gaming. By leveraging custom AMD architecture, the company seeks to integrate its Xbox and PC ecosystems more tightly than previous hardware generations.

Project Helix will feature a custom chip developed in collaboration with AMD to support both Xbox console and PC gaming titles. The upcoming handheld devices, the ROG Xbox Ally and ROG Xbox Ally X, are designed to run the Windows operating system.

The players

Microsoft

A multinational technology corporation that develops, manufactures, and supports a wide range of software products, services, and consumer electronics including the Xbox brand.

AMD

A semiconductor company that produces high-performance computing, graphics, and visualization technologies used in various gaming platforms and data centers.

ASUS

A multinational hardware and electronics company known for its diverse range of consumer electronics including motherboards, graphics cards, and portable gaming devices.

The details

Microsoft is partnering with AMD and ASUS to engineer its new gaming lineup, ensuring cross-platform compatibility for its users. The company plans to begin distributing alpha versions of the Project Helix hardware to game developers in 2027 to ensure software readiness for the planned 2028 launch.

2027: Microsoft begins shipping alpha Project Helix hardware to developers.
2027 holiday season: Planned consumer release for the new Xbox handheld.
2028 holiday season: Planned consumer release for the Project Helix console.

The Tech Race

Microsoft's new initiatives extend the handheld trend established by the ASUS ROG Ally into its own proprietary gaming ecosystem. This strategy mirrors the broader industry shift toward portable gaming as companies compete to capture mobile market share from traditional console dominance.

Gamers can expect more flexibility in how they access their libraries, with new hardware supporting both console and PC titles on the go. These devices will likely introduce new mobile gaming capabilities that prioritize the integration of Windows-based software in a handheld form factor.

The takeaway

The move toward a diversified hardware strategy suggests a future where gaming is no longer confined to the living room television. Consumers interested in these upcoming systems should monitor developer announcements during the 2027 alpha phase for further details on game library compatibility.