Xbox Breaks Decade-Long Silence with Handheld Console Launch—Gamers Rejoice, Short Sellers Weep

After 10 years of rumors, leaks, and enough Reddit threads to crash a server, Microsoft's Xbox finally pulls the trigger on a portable gaming device. The move shocks an industry that's spent years betting against it—Wall Street analysts now scrambling to justify their 'niche market' forecasts.

No specs? No problem. The mere announcement sends shockwaves through gaming forums and boardrooms alike. Sony's stock dips 2% in after-hours trading—because nothing terrifies legacy giants like a hungry competitor with nothing left to prove.

Meanwhile, crypto bros mourn the lost opportunity to tokenize this reveal as an NFT drop. Priorities.

The idea of a handheld console device has circulated since the early 2010s, when insiders reported that Microsoft had ideas of several prototypes that never made it to production. 

The launch of the Xbox Ally comes just three days after Nintendo released the Switch 2, a hybrid system known for both handheld and docked play.

“Whether you’re at home or on the go, your favorite games should follow you,” said Roanne Sones, Xbox’s head of gaming devices. “Both handhelds allow players to play natively, via the cloud, or remotely with their Xbox console in another room.”

Two versions with specs for AAA games

Microsoft is launching two versions of the Xbox Ally: the standard model and a premium variant dubbed the Xbox Ally X. According to the company’s press release, both devices will feature a 7.0-inch 1080p IPS display with a 120Hz refresh rate, variable refresh rate (VRR) support, and AMD FreeSync technology to cut down screen tearing during performance drops.

The base model will be powered by an AMD Ryzen Z2 APU, 16GB of RAM, and a 512GB SSD. It also includes a 60Wh battery. The higher-end Ally X steps up to the AMD Ryzen AI Z2 Extreme processor, 24GB of RAM, a 1TB SSD, and an upgraded 80Wh battery. 

An IGN reviewer with early access to the Xbox Ally X reported playing Gears of War: Reloaded for approximately 15 minutes at 1080p resolution with high graphical settings. The test included AMD FSR 3.1 set to quality mode and 16x anisotropic filtering. 

According to the reviewer, the device held well at 60 frames per second throughout the session while running in TURBO mode, which increases power output at the cost of heat and battery efficiency.

They also noted that while Gears of War: Reloaded is a remaster of an Xbox 360-era title, it was a significant visual upgrade over the original game. However, they cautioned that performance results might differ when running more demanding titles such as Doom: The Dark Ages or CyberPunk 2077 at maximum graphics settings. 

Windows and Game Pass access

According to developers, the Xbox Ally is built on a slimmed-down version of Windows for users to access their PC games more easily. The device features a customized Xbox app but still functions as a Windows-based machine, allowing gamers to launch third-party gaming platforms such as Steam, EA Play, and others outside the Xbox ecosystem.

“Because these handhelds run Windows, you have access to games you can’t get elsewhere, so you can enjoy the full freedom and versatility of PC gaming,” Sones said.

Much similar to the Xbox Series X|S, subscribers to Xbox Game Pass can play hundreds of titles off the bat, including upcoming games like Activision’s Call of Duty: Black Ops 7, slated to be released later this year.

At launch, the Ally and Ally X will be available in several countries, including the United States, the United Kingdom, Canada, France, Germany, Japan, and other countries across Europe, the Middle East, and Asia-Pacific. The list spans 30 countries in total, with Microsoft promising that additional regions will follow based on the current ROG Ally distribution zones.

Cryptopolitan will keep you updated about the console’s pricing, accessory compatibility, and pre-order timelines in the coming months. Microsoft is also expected to reveal more specifications and software features ahead of the official release.

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