Handheld gaming is heating up in 2025, and Xbox is officially entering the race with its first dedicated handheld device, the ROG Xbox Ally. Built in partnership with Asus, the new gaming handheld is designed to challenge the Nintendo Switch 2, Steam Deck, and Sony’s PlayStation Portal with a mix of console-style ease and PC-level power.
Microsoft revealed the device at Gamescom 2025, confirming that two versions will launch later this year: the premium ROG Xbox Ally X and the standard ROG Xbox Ally. While pricing is still a mystery, leaks suggest the base model could cost around $700 and the high-end model near $1,000.
The ROG Xbox Ally X will feature AMD’s Ryzen AI Z2 Extreme processor, 24GB LPDDR5X memory, 1TB SSD storage, and an 80Wh battery for extended playtime. It also includes a 7-inch Full HD 120Hz display, Gorilla Glass Victus protection, and advanced connectivity with USB4, DisplayPort 2.1, and more. The standard ROG Xbox Ally offers slightly lower specs with a Ryzen Z2 A chip, 16GB memory, 512GB storage, and a 60Wh battery, but it keeps the same high-quality 7-inch display.
Both handhelds are designed with Xbox-style grips, impulse triggers, haptics, and extra back buttons for a familiar console experience.
The biggest change from previous Asus ROG handhelds is the Xbox-first software. Instead of loading directly into Windows, the device boots into the Xbox GameBar, giving instant access to Game Pass, Xbox Cloud Gaming, Steam, Epic Games Store, and Battle.net. For power users, Windows 11 is still accessible, allowing full PC control.
Microsoft is betting big on Game Pass as the handheld’s strongest weapon. Players will be able to download or stream games instantly, giving them access to one of the largest game libraries in the world without worrying about storage space.
The ROG Xbox Ally could become one of the most versatile gaming devices available, bridging console convenience with PC flexibility. But its success will depend on how Microsoft prices the handheld against rivals like the Steam Deck and Switch 2 in an already competitive market.
