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Yes—the March 10, 2025 report was substantially correct. It described an Xbox-branded handheld made with a PC hardware partner, reportedly codenamed Project Keenan. Microsoft and ASUS later announced the ROG Xbox Ally and ROG Xbox Ally X on June 8, 2025, and launched them on October 16, 2025. The important qualification is that these are ASUS-made Windows gaming PCs with Xbox software and branding, not Microsoft-manufactured Xbox consoles.
What the March 2025 report claimed
The original report said Microsoft was working with a PC manufacturer on an Xbox-branded handheld that could arrive later in 2025. Thurrott attributed the project’s reported codename, Project Keenan, to reporting from Windows Central and described a device built by a Microsoft hardware partner rather than by Microsoft itself. The March 10 report said the handheld was expected to:
- run full Windows rather than a console-only Xbox operating system;
- foreground PC Game Pass and the Microsoft Store while still allowing Steam and other PC storefronts;
- use Xbox-oriented industrial design and a dedicated Xbox button;
- reduce the bloatware and awkward desktop interaction associated with many Windows handhelds; and
- serve as a market test or “research experience” for Microsoft and other PC manufacturers.
The report also separated this partner product from Phil Spencer’s previously discussed first-party Microsoft handheld effort, which was described as several years away. “Keenan” was a reported codename, not a confirmed retail name.
The reveal: ASUS ROG Xbox Ally and Ally X
Microsoft and ASUS made the partnership official at the Xbox Games Showcase on June 8, 2025. The products became the ROG Xbox Ally and ROG Xbox Ally X, with ASUS responsible for the hardware and AMD supplying the processors. Microsoft contributed the Xbox branding, software experience, ecosystem integration and developer guidance. The announcement is documented by Xbox Wire and further detailed by Thurrott.
#1 Best Overall
- [Xbox experience brought to life by ROG] : The Xbox gaming legacy meets ROG's decades of premium hardware design in the ROG Xbox Ally. Boot straight into the Xbox experience just like a console.
- [Xbox Game Bar integration] : Launch Game Bar with a tap of the Xbox button or play your favorite titles natively from platforms like Xbox Game Pass, Steam, Epic Games, or Windows games on the go.
- [All your games, all your progress]: Powered by Windows 11, the ROG Xbox Ally gives you access to your full library of PC games from Xbox and other game stores. With Xbox Play Anywhere, you can pick up right where you left off on your PC or Xbox and jump back into the game anytime.
- [Never stop gaming]: Powered by ultra-efficient AMD Ryzen Z2 A processor, the ROG Xbox Ally offers console-caliber performance and can game for hours, even away from a wall outlet.
- [Game-ready storage and fast memory]: Store your full library and multitask seamlessly with 512GB SSD and 16GB of LPDDR5 6400MHz RAM. The ROG Xbox Ally makes playing any game in the palm of your hand possible.
That makes the products the apparent realization of the reported partner-device project, while stopping short of proving that “Keenan” was definitively the internal name for both retail models.
It is an Xbox-branded Windows PC, not a portable Xbox console
Both models run Windows 11 Home. Their Xbox identity comes from the interface and services layered onto Windows, not from a traditional Xbox console operating system. Users can run native PC games and ordinary Windows applications, install multiple launchers, and still reach the Windows desktop when needed.
Xbox features added to Windows
- Direct boot into an Xbox full-screen experience instead of the conventional desktop.
- A dedicated Xbox button that opens an enhanced Game Bar overlay.
- A unified, controller-oriented view of games installed through different PC storefronts.
- Controller navigation for the lock screen and task switching.
- Integration with ASUS Armoury Crate controls.
- Handheld compatibility labels and performance indicators.
- Xbox Play Anywhere support for compatible digital games.
- Xbox Cloud Gaming and Xbox Remote Play.
- Gaming Copilot access through Game Bar, subject to availability and product-stage limitations.
The devices can install games and applications from Xbox and the Microsoft Store, Steam, Battle.net, GOG, Ubisoft Connect and other PC storefronts. They can also run Discord, Twitch, mods and standard Windows utilities. That breadth is a major advantage over a closed console, but it also means launcher logins, updates, drivers and occasional PC troubleshooting remain part of ownership.
What games can you actually play?
Native PC games
Games with compatible Windows PC versions can be installed locally, whether purchased through Microsoft’s store, Steam or another launcher. Performance and controller support vary by title. A game may run technically while still presenting small text, a desktop-oriented launcher or menus that work better with a mouse and keyboard.
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PC Game Pass games with Windows versions can be installed and played locally. Xbox Play Anywhere titles can share progress, achievements and a digital license between Xbox consoles and supported PC devices. Neither label means that every game in the wider Xbox console catalog is available as a native local installation.
Cloud gaming and Remote Play
Xbox Cloud Gaming can stream supported games without a local PC installation, while Xbox Remote Play streams games from the user’s own console. Both routes depend on network quality and introduce latency, so they are not substitutes for offline local play in every situation.
Rank #2
- 🖥️ High-Performance 7" Gaming & Productivity Display | 1920x1080 Glare TFT LCD with 120Hz refresh rate delivers ultra-smooth visuals for gaming & streaming; 10-point capacitive multi-touch panel + precision pointing device ensures intuitive control. Powered by Windows 11 Home 64-bit, this black handheld balances portability (11.4"x4.8"x1.1", 1.6 lbs) and immersive play.
- ⚡ Top-Tier AMD Ryzen AI Z2 Extreme Processor | 8-core/16-thread chip paired with integrated AMD Radeon Graphics, 24GB LPDDR5X-8000 onboard memory & 1TB PCIe 4.0 x4 NVMe SSD for lightning-fast load times, seamless multitasking & crisp gaming graphics. Max power consumption of 65W optimizes performance without excessive energy drain.
- 🔋 Long-Lasting Battery & Flexible Power Options | 4-cell 80Wh lithium polymer battery offers up to 13.9hrs of video playback or 22.3hrs of idle use—ideal for all-day gaming marathons or remote work.
- 🎮 Professional Gaming Controls & Smart Features | Full layout with left/right sticks, D-pad, A/B/X/Y buttons, bumpers/triggers, 2 macro buttons & dedicated Xbox/display/library keys for customized gameplay. Built-in accelerometer/gyroscope for motion control; Windows Hello fingerprint recognition ensures secure, one-touch login.
- 🔌 Versatile Connectivity & Complete Accessories Kit | Wi-Fi 6E + Bluetooth 5.4 for lag-free online gaming & device pairing; 2 Type-C ports (USB 4 + USB 3.2 Gen2) support data transfer, video output & PD charging.
Storefront differences
Steam, Battle.net, GOG, Ubisoft Connect and Xbox may differ in controller support, offline behavior, DRM, shader compilation, cloud saves and account requirements. Xbox branding does not make those launchers behave like one console store.
ROG Xbox Ally versus ROG Xbox Ally X
The following specifications were announced by Xbox in June 2025. The prices are U.S. launch-price signals reported in October 2025, not a claim about every retailer’s price in 2026.
| Specification | ROG Xbox Ally | ROG Xbox Ally X |
|---|---|---|
| Processor | AMD Ryzen Z2 A | AMD Ryzen AI Z2 Extreme |
| Memory | 16GB LPDDR5X-6400 | 24GB LPDDR5X-8000 |
| Storage | 512GB M.2 2280 SSD | 1TB M.2 2280 SSD |
| Display | 7-inch 1080p IPS, 120Hz, 500 nits, FreeSync Premium | 7-inch 1080p IPS, 120Hz, 500 nits, FreeSync Premium |
| Battery | 60Wh | 80Wh |
| Weight | 670g | 715g |
| Wireless | Wi-Fi 6E, Bluetooth 5.4 | Wi-Fi 6E, Bluetooth 5.4 |
| USB | Two USB 3.2 Gen 2 Type-C ports | USB4/Thunderbolt 4-compatible Type-C plus USB 3.2 Gen 2 Type-C |
| Extra hardware | Not stated | Impulse triggers |
| U.S. launch price | $599 | $999 |
The Ally X’s extra memory, faster processor, 1TB drive and 80Wh battery provide more headroom for demanding games and large installations. Its 715g weight and higher launch price are the trade-offs. Runtime and frame rates still depend on the game, resolution, frame-rate target and selected power profile; the larger battery is not a guarantee of a fixed number of hours.
When and where did it launch?
Microsoft announced the family on June 8, 2025. Both models launched on October 16, 2025, with launch coverage reporting availability in 45 countries, including the United States. China received different timing for the base model. Availability, stock and pricing can vary by country and retailer. See the Xbox release announcement and launch coverage.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.What Windows compromises remain?
The Xbox full-screen experience improves the front end, but it does not turn Windows into a console operating system. Owners can still encounter:
- Windows updates, driver management and system settings;
- different launcher interfaces and login requirements;
- games that need graphics tuning or desktop interaction;
- storage management for increasingly large PC installations; and
- inconsistent controller support, text size and offline behavior.
Microsoft has said that reducing or deferring background activity in the full-screen experience can return approximately 2GB of memory to games and reduce idle power draw. Those are Microsoft-reported test results, not universal independent benchmarks. Thurrott’s coverage also notes that the software is intended to address Windows handheld friction rather than eliminate Windows itself.
Rank #3
- [Xbox experience brought to life by ROG] : The Xbox gaming legacy meets ROG's decades of premium hardware design in the ROG Xbox Ally. Boot straight into the Xbox experience just like a console.
- [Xbox Game Bar integration] : Launch Game Bar with a tap of the Xbox button or play your favorite titles natively from platforms like Xbox Game Pass, Steam, Epic Games, or Windows games on the go.
- [All your games, all your progress]: Powered by Windows 11, the ROG Xbox Ally gives you access to your full library of PC games from Xbox and other game stores. With Xbox Play Anywhere, you can pick up right where you left off on your PC or Xbox and jump back into the game anytime.
- [Never stop gaming]: Powered by ultra-efficient AMD Ryzen Z2 A processor, the ROG Xbox Ally offers console-caliber performance and can game for hours, even away from a wall outlet.
- [Game-ready storage and fast memory]: Store your full library and multitask seamlessly with 512GB SSD and 16GB of LPDDR5 6400MHz RAM. The ROG Xbox Ally makes playing any game in the palm of your hand possible.
Handheld Compatibility labels
Microsoft’s Handheld Compatibility Program is intended to warn users when a game may require adjustments:
- Handheld Optimized: controller defaults, usable text input, suitable iconography, readable text and an appropriate full-screen resolution.
- Mostly Compatible: expected to work but may need minor in-game changes.
- Windows Performance Fit: an indicator of whether a game should play well on a supported device.
These labels address a central Windows-handheld problem: technical compatibility does not always equal comfortable controller-only play. They are guidance, not a promise that every title will offer console-style behavior.
Why use ASUS instead of making a Microsoft console?
The partnership gave Microsoft a faster, lower-risk route into handheld PCs while ASUS supplied established PC hardware and manufacturing expertise. It also let Microsoft test its interface, services and developer guidance on shipping hardware. That is a strategic interpretation of the partnership, not a published Microsoft promise that a first-party handheld has been canceled or replaced.
The ASUS products should therefore not be called proof of Microsoft’s own first-party handheld timeline. They are a separate, earlier partner effort that lets Microsoft learn about demand and software design while expanding Xbox beyond traditional consoles.
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Microsoft said the full-screen Xbox experience would eventually come to other Windows handhelds. The rollout began with existing ASUS ROG Ally devices, with more Windows handhelds planned afterward. That plan makes the Ally partly a hardware product and partly a showcase for a software layer Microsoft wants other PC manufacturers to adopt.
This also creates a direct contrast with SteamOS: Windows offers broad storefront and application compatibility, while SteamOS pursues a more console-like, Steam-first handheld experience. The competition is therefore about the operating system and user experience as much as processor specifications.
What the report got right—and what it did not mean
- Right: an Xbox-branded partner handheld arrived in 2025.
- Right: the device uses Windows and supports PC storefronts beyond Microsoft’s own store.
- Right: Xbox-oriented hardware and software were central to the design.
- Not right to imply: Microsoft manufactured a portable Xbox console.
- Not guaranteed: that every Xbox console game runs natively or that Windows friction disappears.
- Not established: a release date or specifications for a separate Microsoft-made first-party handheld.
The most accurate description is an officially licensed Xbox-branded Windows gaming handheld, made by ASUS and enhanced with Microsoft’s Xbox experience.
Quick Recap
Product prices and availability are accurate as of the date/time indicated and are subject to change. Any price and availability information displayed on Amazon at the time of purchase will apply.
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