Microsoft Gaming CEO, Phil Spencer, has finally put an end to rumours and confirmed plans for making an Xbox handheld. During an interview with Bloomberg, Spencer outlined longer-term goals for continuing to build devices. While talking on the topic, he talked about the major focus being on handheld devices and mobile gaming markets. Further, he also expressed interest in more acquisitions and partnerships which will drive the growth of the company forward.
Spencer’s confirmation comes just a couple of months after Microsoft’s layoff of 650 gaming division employees, contributing to a total of 2,550 roles eliminated from the gaming sector in 2024. Microsoft Gaming is exploring potential deals to acquire a mobile gaming company, although no specific targets have been named, likely due to the recent $69 billion acquisition of Activision Blizzard in 2023. Amidst these developments, gamers are eager to hear more about Spencer’s vision for a potential Xbox handheld console.
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Will Xbox Make Its Place Amid Fierce Competition?
Previously, the Xbox boss hinted at his admiration for handheld consoles, but Spencer hadn’t directly confirmed an Xbox handheld was in the works until now. With competitors like Nintendo who are years ahead in the handheld console market, Phil Spencer acknowledged that the “expectation is that we would do something” to provide Xbox gamers a similar portable console experience. However, the company has already invested in making games available on existing portable devices through the Xbox app.
Xbox remains focused on expanding its Game Pass and Cloud Gaming initiatives. Spencer shared that, over the coming months, the team will work on refining the Xbox app for existing mobile devices, enhancing performance and user experience. They also plan to collaborate with hardware manufacturers to optimize Xbox experiences, ensuring smooth connectivity and synchronization across devices. While Cloud Gaming is already compatible with various platforms, Spencer aims to improve its performance on current hardware to inform future product development.
For now, a dedicated Xbox handheld device is still a few years away. Microsoft Gaming teams are experimenting with prototypes, but Spencer’s primary goal is to align any new device with Xbox’s larger strategy. This cautious approach seems prudent, especially considering the competitive landscape of the handheld gaming market, where many established players already hold strong positions.
