Microsoft reportedly has plans set in motion to release its next Xbox in 2027. Along with the new console, there might be another handheld with this one being a proper Xbox handheld. What might happen is that the handheld is a lower-powered console, like the Xbox Series S, and the new home console will be more like the Xbox Series X.

I understand the Xbox work that has hit the headlines this week is actually called Project Kennan, not Keenan. I’m told that Kennan is the codename for a handheld that is being manufactured by Asus, and it’s part of a larger effort from Microsoft to unify Windows and Xbox towards a universal library of Xbox and PC games.

Microsoft is prepping a new handheld version of its Xbox console that could be launched later this year. Meanwhile, plans are afoot to replace the existing Xbox Series S and X consoles in 2027.

Xbox's next gaming device may be a handheld made by partners, coming ahead of next-gen living room consoles set to launch in 2027.

I play most of my games on an Xbox plugged into a 65-inch OLED TV in the living room. Despite this comfy setup, I caved and finally bought a Steam Deck in late 2024, and I’m so happy that I’ve started padding my neglected Steam library once again.

A handheld device with the Xbox name might be releasing this year, but it just doesn't sound like something with the power to shake up the market.