Microsoft to merge Xbox and Windows features for better gaming on handhelds

TL;DR: Microsoft is looking to bring the Xbox experience to PC and handheld gaming. Speaking at an AMD and Lenovo event at CES 2025 in Las Vegas, Microsoft's Vice President of "Next Generation," Jason Ronald, said that the combined Xbox and Windows experience could be rolled out before the end of this year.

Speaking to The Verge after the event, Ronald lamented that while the Xbox operating system is "world-class," it is currently locked to the console. He said it makes perfect sense for the company to extend the same robust experience to both players and developers in the Windows ecosystem.

Ronald added that Microsoft expects the addition of Xbox-specific features to deliver an improved gaming experience on Windows devices. He also noted that since the Xbox operating system is built on top of Windows, "a lot of infrastructure that we built in the console space" can be ported over to PCs relatively easily.

To improve the gaming experience on Windows handhelds, Microsoft is looking to simplify the UI and make it much more console-like. According to Ronald, the company plans to "put the player and their library at the center of the experience" without letting the Windows UI get in the way. He refused to divulge anything else about the company's plans, but added that Microsoft will share more details later this year.

The admission that something needs to be done about Windows handhelds comes several months after Xbox chief Phil Spencer confirmed that Microsoft is working on a handheld Xbox console. According to Spencer, it would be a true standalone device like the ROG Ally, Lenovo Legion Go, or Steam Deck, rather than something like the PlayStation Portal.

If Microsoft is successful in its plan, future Windows handhelds may be more efficient and user-friendly than existing ones, which are plagued by usability issues associated with what is essentially a desktop operating system designed to be used with a mouse and keyboard.

This is in direct contrast with the Steam Deck. Valve's handheld is consistently voted by gamers and reviewers as the best gaming handheld in the market, largely because its operating system, SteamOS, is built ground-up for gaming.

While Windows handhelds are technically more versatile, they are often criticized for offering a sub-par gaming experience despite high-end hardware. Gamers worldwide will be happy to know that Microsoft has been taking notes and is addressing their concerns.