AMD's minimum order and low Steam Deck sales led Microsoft to cancel its portable Xbox
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Microsofthad given indications that it was developing a portable Xbox, but it reportedly decided to halt the project. The company prioritized strengthening models from other manufacturers such as ROG Ally.
According to KeplerL2, an insider specializing in AMDand hardware, the cancellation was mainly due to AMD's minimum order requirement, which demanded 10 million units to justify the development of the SoC.
¿Qué se sabe de la nueva Xbox?
AMD's minimum order and Microsoft's decision
The figure of 10 million units seems high, especially for a new device. Microsoft compared it to sales of the Steam Deck, which only reached 5 million units, and models like ASUS ROG or Lenovo Legion, which sold between 1 and 2 million.
The risk was too high for Microsoft, especially because the prototype was in the early stages of development. For this reason, the company chose to cancel the portable before investing more resources.
Competition with Steam Deck and the focus on console-like PCs
Steam Deck sales and the rise of console-like PCs influenced the strategy. Microsoft decided to strengthen its integration of Xbox with Windows 11 and bet on players using console-like PCs with native Windows games.
La futura Xbox sería un híbrido entre consola y PC
The goal is to compete with SteamOS and its outstanding performance on portables, optimizing the gaming experience within Microsoft's ecosystem.
A future without a portable, but with Xbox-PC unification
Instead of taking a risk with its own portable, Microsoft is focusing efforts on the unification of Xbox and PC. This will make it possible to offer console games in console-like PC environments, expanding availability and maintaining competitiveness against other platforms.