Recent reports suggest that Microsoft is collaborating with Asus to develop a new handheld gaming device, codenamed “Keenan,” scheduled for release in late 2025. This device is designed to compete with upcoming consoles like the Nintendo Switch 2. The handheld is expected to feature Windows as its operating system, allowing users to install third-party applications such as Steam. Collaborations are also underway with other manufacturers, including Lenovo, MSI, and Razer.

The report also discusses the specifications, price, and other details of the Xbox x Asus gaming handheld. The device could use an AMD Z2 Go or a Z2 extreme chipset. The cost, which has to be taken with a massive grain of salt, could be between $499 and $599 USD for the base model. 

In the meantime, Asus has released the ROG Ally, a handheld gaming computer that runs Windows 11 and features controls reminiscent of the Xbox Wireless Controller. The ROG Ally also comes with a three-month subscription to Xbox Game Pass, enhancing its appeal to gamers.