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Asus, Microsoft All But Confirm They're Working on an Xbox Gaming Handheld

Asus ROG Xbox handheld tease.

Asus ROG Xbox handheld tease.

Asus and Microsoft's Xbox division have engaged in a little meme-inspired teasing on social media, adding serious fuel to the rumors that the two will be collaborating on a new Xbox-based handheld gaming system. Building on the success of the Steam Deck and Asus' own Ally handheld console, a portable Xbox gaming system would likely be extremely popular, especially if it could play both Xbox and PC games.

The handheld gaming market isn't a large one, but it's seen explosive growth over the past few years. Somewhat inspired by the Nintendo Switch, it was the Steam Deck that really kicked the industry into high gear, and we've seen a number of companies release competitor products in the years since. Asus joined the fray with its ROG Ally system, while Lenovo has its own streaming and local-gaming Legion systems. Then there are other branded options like the Ayaneo or the MSI Claw. And now we might be on the cusp of a new Asus handheld build in partnership with Xbox.

This latest tease appeared on Twitter/X where Asus posted a short animation of its robot mascot developing a new version of itself to have "More capacity," "Marathon stamina," a "fresh look," and "faster speeds." Unfortunately for the little robot though, it accidentally brought its ROG Ally and console controller into the transformation booth with it. And you can guess what happened next.

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Among all the responses from Asus fans clamoring for more information about the handheld, Microsoft's official Xbox account posted the Awkward Look Monkey Puppet meme, suggesting that its team very much had something to do with the new handheld gaming system.

So this all but confirms the two are working together on a handheld, but outside of that, details are almost non-existent. There are rumors, though. XboxEra reported in March that the handheld is expected to debut before the next-generation Xbox, itself slated for launch in 2027. Codenamed "Keenan," this handheld is reportedly planned for an end-of-2025 launch and will have a very "Xbox" look to it, including the official Xbox guide button and face buttons.

The hashtag #PlayALLYourGames on the tweet would also suggest this will be both a Windows and Xbox gaming system capable of playing games from either platform. If that proves true, it would have some serious potential to boost cross platform play, as well as being an attractive buy for both Windows and Xbox gamers.

That could come in the form of a standalone gaming system that runs Windows and streams Xbox games via Game Pass, but a handheld with real Xbox hardware inside that can play the games natively isn't out of the question either.

And yes, this could be related to April Fools' Day, as this cursed day allows. But I don't know if Asus would pay to have that animation just for a gag.

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