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Xbox is Partnering With Asus for Upcoming Gaming Handheld, It’s Claimed

A new report claims Xbox’s upcoming gaming handheld is being developed in partnership with Asus. 

Xbox and Asus Partner Up

Earlier this week, it was reported that Microsoft was working on a partner gaming handheld for 2025 called Project Kennan. Now, through a new report from Windows Central, we know that Xbox is partnering with Asus on the project. The device will be similar to the Asus ROG Ally but with “an Xbox-y twist.” 

The Xbox x Asus gaming handheld will seemingly follow a more ‘Xbox style’, featuring an Xbox Guide button that was reported earlier. However, it is unclear whether the device will be a separate SKU from the ROG Ally 2 or be a version of that device, which is “subsidised by Xbox”. 

The report also tells us that the Xbox x Asus handheld will not play Xbox games, as it is “a tried-and-true Windows PC in essence”. Players will have the same access as they have on the Asus ROG Ally, being able to play games from Xbox Play Anywhere, Xbox Cloud Gaming and Xbox Game Pass Ultimate. At the same time, they can also use other stores such as Steam, Epic Games Stores and launchers like Riot on the upcoming handheld. 

Project Kennan Specs, Price and More

The report also discusses the specifications, price, and other details of the Xbox x Asus gaming handheld. The device could use an AMD Z2 Go or a Z2 extreme chipset. The cost, which has to be taken with a massive grain of salt, could be between $499 and $599 for the base model. 

Moreover, Microsoft wants the upcoming handheld to resemble the Xbox as closely as possible, and it will exist “as a proof of concept of sorts.” The Xbox apps are being redesigned to be better optimised on small screens, and the Xbox Game Bar also received an update recently to make it look more like an Xbox rather than a Windows PC.

In other news, a next-gen Xbox console is planned for 2027. According to claims, the next console might not be a traditional one. What are your thoughts on the Xbox x Asus handheld? Let us know in the comments or on our community forum!


For more information from Insider Gaming, read about Pocketpair Publishing warning players “not to expect Palworld”. Don’t forget to sign up for our weekly newsletter

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