Reports indicate Microsoft has scrapped its plans for an Xbox handheld console, previously rumored to rival the upcoming Nintendo Switch 2. This comes shortly after Asus revealed the ROG Xbox Ally, a potential competitor. Instead of directly entering the handheld market, Microsoft is reportedly shifting its focus to developing a new Xbox software platform. This platform aims to empower third-party manufacturers to create their own Xbox-branded handheld consoles. This strategic move suggests Microsoft intends to leverage its software expertise and brand recognition without directly competing in hardware manufacturing. By enabling other OEMs to build devices, Microsoft can expand the Xbox ecosystem and reach a wider audience in the growing handheld gaming market.
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