Why Microsoft’s next Xbox should just run Windows already

18 June 2025

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The AMD-powered “next generation Xbox console” should take a tip from the ROG Xbox Ally.

Yesterday, Microsoft confirmed that it's not abandoning the home console market just yet. In a short video teaser, Xbox President Sarah Bond highlighted a "strategic multi-year partnership with AMD" that will include "our next-generation Xbox consoles in your living room and in your hands." But while we know that the "in your hands" part will include devices like the Windows-powered ROG Xbox Ally, there are still few specifics about what exactly Microsoft has planned for its future living room consoles (aside from what Bond calls "the next generation of graphics innovation").

Reading between the lines a bit, though, we wouldn't be surprised if Microsoft was getting ready to finally tear down the thinning wall separating gaming PCs and gaming consoles. A Windows-based, living room-focused Xbox capable of running generic Windows games could accentuate Microsoft's strengths in PC gaming while papering over many of the company's recent struggles in the home console market.

WindowsBox

The once-bright line separating PC gaming and TV-based console gaming has been deteriorating for years. On the hardware side, bespoke console chips and development environments long ago gave way to PC-like architectures that are simpler and easier for developers to work with. And on the PC interface side, efforts like Steam's Big Picture mode and SteamOS as a whole have strived to make playing on a PC with a handheld controller into a more console-like experience.

Last week's announcement of the Asus Xbox ROG Ally shows that Microsoft is leaning into this merger. The Windows 11-powered device promises to replace Windows' desktop icons and taskbar with a new full-screen "Xbox Experience for Handheld." The company says this will "minimize background activity and defer non-essential tasks" that take up RAM and computing resources on a full desktop Windows OS. That interface won't be exclusive to Asus' handheld, either; Microsoft has said it will start rolling out to other Windows devices "starting next year."

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