Xbox’s Phil Spencer Confirms Handheld Prototypes are in Development

This week, Microsoft Gaming CEO Phil Spencer sat down for an interview with Bloomberg. Spencer discussed acquisitions, the mobile market, and further expansion on PlayStation. Spencer also confirmed that prototypes of a potential Xbox handheld are in development.

While speaking with Bloomberg, Spencer notes the importance of the mobile market, stating that “geographic diversity” will be essential to remain competitive and speak to a larger audience. While hesitant to confirm if further larger acquisitions are “imminent”, Spencer did state that “We definitely want to be in the market, and when we can find teams and technology and capability that adds to what we’re trying to do in gaming in Microsoft, absolute we will keep our heads up.”

This apparently includes developing its very own Xbox-branded handheld gaming device. During the interview, Spencer expressed that the “expectation is that we would do something” within the handheld market. The CEO of Microsoft Gaming confirms that a team is currently looking at the market and developing a vision based on the learnings. Unfortunately, that means that any potential device hitting the market is still a few years away.

Spencer has long been vocal about the desire to enter the gaming handheld market. Earlier this year, Spencer outlined his vision of what an Xbox handheld could look like. Amongst the likes of the Steam Deck, Asus ROG Ally and Lenovo Legion Go, the Xbox handheld may seamlessly integrate Xbox features as well as offer access to all games with cross saves.

In the meantime, the Xbox team is working away at improving the Xbox app on existing portable gaming handhelds. Spencer confirms with Bloomberg that it is marketing with companies such as Valve, Steam and Lenovo to ensure the app experience between Xbox games syncs accordingly with the hardware.