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Asus Teases Possible Xbox-Branded Handheld Gaming Device

Speculation surrounding a potential Xbox-branded handheld gaming device has been swirling for years, with many wondering whether Microsoft would enter the market with its own console-like or PC-based solution. Now, a new promotional video from Asus is adding more fuel to the fire, hinting that something along these lines might be arriving soon.

Asus has already established itself as a key player in the handheld gaming PC space, launching the ROG Ally and its recently upgraded ROG Ally X in response to the Steam Deck. However, the company’s latest teaser video on Twitter/X strongly suggests that it may be working on a device with direct Xbox branding. The clip features the company’s mascot, Omni, stepping into a futuristic chamber alongside an ROG Ally and a Raikiri Pro controller, an Xbox-compatible PC controller manufactured by Asus. A resulting “mishap” fuses them together into a shadowy, unidentified handheld with an Ally-style layout and LED rings around the thumbsticks.

While the video alone could be dismissed as playful marketing, the #PlayALLYourGames hashtag has caught the attention of fans. Additionally, Microsoft’s official Xbox Twitter account responded with a meme post, further reinforcing speculation that this could be a collaborative project between the two companies.

At this point, details remain scarce, but one reasonable theory is that Asus is developing a new version of the ROG Ally X, featuring Xbox branding, Windows 11 integration, and an emphasis on Game Pass streaming. The teaser video also includes cryptic phrases such as “Marathon stamina,” “More capacity,” and “Faster speed”, which might hint at hardware improvements like a larger battery, expanded storage, or upgraded performance.

However, despite the excitement, it seems unlikely that this would be a dedicated “handheld Xbox” running native console games. With Microsoft’s focus on cross-platform availability—making most of its exclusive titles available on both PC and Game Pass streaming—it wouldn’t make much sense to launch a separate, less powerful handheld Xbox that competes directly with devices like the Steam Deck or even the existing ROG Ally models. Instead, this could be Microsoft’s way of reinforcing its ecosystem, making an Xbox-branded handheld a more attractive option for gamers who want cloud gaming and native PC play in a single device.

Interestingly, the teaser video does not include any release date or launch timeframe. Additionally, while the March 31st post date raises concerns about an April Fool’s prank, the lack of overt humor suggests that Asus is teasing a genuine product announcement. Whatever the case, it looks like something big is brewing between Asus and Microsoft, and we may not have to wait long to find out exactly what it is.