Xbox next-gen console reportedly targeting 2027, with handheld device due this year

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Microsoft is reportedly aiming to release its next-gen Xbox Series X/S successor in 2027, with a much-rumoured handheld Xbox arriving later this year.


That’s according to Windows Central, which reports an Xbox Series X/S successor has been greenlit “all the way up to [Microsoft] CEO Satya Nadella” and is now “fully in production”. The publication doesn’t have much to share in the way of specifics, but it claims the new console is a “premium successor to the powerful Xbox Series X”, and is currently slated for a 2027 release.


Microsoft has, of course, already confirmed it’s working on an Series X/S successor, with Xbox president Sarah Bond last year saying – amid fan fears the company may be looking to abandon the console market – it was “invested in [its] next-generation road map” and “focused on… delivering the largest technical leap that you will have ever seen in a hardware generation.”

Digital Foundry discusses Sony’s rumoured portable PS5.Watch on YouTube


While 2027 is obviously still some considerable way off, Windows Central says Microsoft has other Xbox hardware plans due to reach fruition much sooner. The company is reportedly currently working alongside an unspecified “PC gaming OEM” to launch an Xbox-branded gaming handheld later this year. It’s claimed the device is being developed under the codename Keenan, and will – according to Windows Central’s sources – look “unmistakably ‘Xbox'”, sporting familiar design sensibilities and even an Xbox guide button.


The idea of an Xbox handheld is nothing new. Back in 2017, Xbox boss Phil Spencer revealed Microsoft had “roughly designed an Xbox handheld” in the past. However, he’s repeatedly returned to the subject over the last year, fuelling speculation the project had been revived. When questioned about a potential Xbox handheld last November, Spencer suggested any such devices would still be a few years away, but with Switch 2 looming, and reports suggesting Sony is also working on its own handheld device in the form of portable PS5, it might be Microsoft felt the need to accelerate its plans.


Interestingly, Windows Central claims Microsoft is also internally developing its own Xbox gaming handheld, separate from this year’s partner machine, which is due to release alongside its Series X/S successor and “several new controller options” in 2027.


All this comes after a 2024 that saw Microsoft’s continued dedication to the console market repeatedly questioned, particularly following its decision to bring select first-party Xbox games to other platforms. And while that multiplatform strategy is accelerating in 2025, the company has been keen to reiterate its commitment to the Xbox hardware business – last year announcing three new Xbox console variants alongside talk of its next-gen plans.



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