Microsoft is officially returning to in-house design for its next-generation Xbox console. In recent years, following its partnership with ASUS on the ROG Ally series, many speculated that the company might shift more toward third-party hardware. However, Phil Spencer has now made it clear: the next Xbox will be designed by Microsoft itself.
Xbox returns to its own design roots
In an interview with Famitsu, Spencer confirmed that the successor to the Xbox Series X|S will be the company’s next first-party hardware launch. This statement signals that Xbox is focusing on a traditional home console rather than portable or hybrid devices.

The next-gen Xbox is expected to debut in 2027. Until then, Microsoft has no plans to release a handheld gaming console under the Xbox brand. Previous reports suggested that Microsoft had explored the idea but eventually handed over the project to ASUS.
Meanwhile, Sony Interactive Entertainment is developing both a home console and a handheld system, reportedly powered by custom APUs co-developed with AMD. These contrasting strategies indicate that the console wars could take on a new shape after 2027.
