Exploring Options for Third-Parties To Build Xbox-Branded Devices

Summary

• Xbox may license branding to third-parties.
• Microsoft exploring third-party hardware partnerships.
• Microsoft planning to enter portable gaming space.

While Microsoft is now open to having some of its best first-party titles appear on competing platforms, a new rumor mentions that we could see the Xbox branding on hardware that Microsoft does not even make.

This latest rumor comes from Windows Central, who claims that Microsoft is exploring options in letting third-party manufacturers build Xbox-branded devices, and this could extend as far as letting these third-parties directly use the Xbox operating system.

Xbox Gaming Devices Built By Third-Parties Gaining Steam Due to CES 2025

While nothing has been teased or announced by Microsoft, the rumor gains ground thanks to an upcoming Consumer Electronics Show (CES) 2025 presentation.

At CES 2025, tech company Lenovo is holding a gaming handheld event where a couple of special guests are confirmed to attend. There’s Pierre-Loup Griffais, one of the designers of Valve’s Steam Deck, and also Microsoft’s Jason Ronald, the vice president of Xbox gaming devices and ecosystem. Interestingly enough, Ronald is now introduced as Microsoft’s “VP of next-generation.”

Could Ronald attend to talk about Windows gaming on Lenovo’s portable gaming device or something else? Even if Ronald doesn’t announce anything at the event, it doesn’t mean this little rumor is untrue.

Xbox division boss Phil Spencer has publicly confirmed that Microsoft is working on an Xbox portable gaming device, though it’s “years away” from seeing the light of day. Allowing third-party manufacturers to make gaming devices with the Xbox brand and even the Xbox operating system could accelerate Microsoft’s plans to enter the portable gaming space.

In recent months, Microsoft’s vision for Xbox gaming has transitioned from pushing for sales of its Xbox Series X|S consoles using console exclusives as a key draw to now pushing for cloud gaming, announcing its major first-party games for competing platforms months in advance. If this latest rumor is the real deal, then portable gaming is another avenue Microsoft is looking to step into to expand its gaming footprint further.

It’s not just Microsoft that’s looking to bolster their revenue with portable gaming. Last month, a rumor surfaced stating how Sony is reportedly working on a PS5 handheld console, though don’t expect it to be released anytime soon. The rumors indicate that both Sony and Microsoft are gearing up to take a bit out of the lucrative portable gaming sector, a portion that’s been dominated by Nintendo for decades now ever since the first Game Boy’s release in 1989.

As with every rumor, take it with a grain of salt for now. CES 2025 is set to kick off January 7, 2025. We’ll let our readers know if Microsoft shares any Xbox gaming plans there.