Image credit: Microsoft x Asus

Microsoft and Asus just confirmed that the Xbox Ally handhelds will launch worldwide on October 16. Two models will be available on day one across more than 40 markets including the US, UK, Canada, Australia, Japan, and most of Europe.

The standard Xbox Ally targets 720p gaming. The more powerful Xbox Ally X goes for smoother 1080p performance. Microsoft hasn’t announced pricing yet but leaks suggest 549.99 dollars for the base unit and 899.99 dollars for the X model.

Specs and Features

Both models feature a 7-inch 1080p IPS display with a 120 Hz refresh rate and VRR. Connectivity includes Wi-Fi 6E and Bluetooth 5.4. From there, the hardware differs:

  • Xbox Ally: AMD Ryzen Z2 A with a 4-core Zen 2 CPU and 8-core RDNA2 GPU, 16GB LPDDR5X-6400 RAM, 512GB M.2 2280 SSD, 60 WHr battery
  • Xbox Ally X: Ryzen AI Z2 Extreme with an 8-core Zen 5 CPU and 16-core RDNA3.5 GPU, 24GB LPDDR5X-8000 RAM, 1TB M.2 2280 SSD, built-in NPU, 80 WHr battery

The Ally X offers more power and better battery life while weighing slightly more.

Game Compatibility Program

Microsoft is launching a Handheld Compatibility Program to help players know how well their games will run. Games will be labeled as:

  • Handheld Optimized: fully playable out of the box with proper resolution and UI
  • Mostly Compatible: works well with minor tweaks
  • Windows Performance Fit: shows expected system performance

Thousands of games have already been tested in partnership with studios to improve the handheld experience.

Software and Interface

Both models run Windows 11 Home with a streamlined, controller-friendly interface based on the Xbox UI. It removes desktop clutter and boots straight into the Xbox experience, though full desktop access is still available through the Xbox Game Bar overlay.

Notable software features include:

  • Shader preloading during game downloads to reduce launch stutters
  • Automatic Super Resolution arriving in 2026, using the Ally X’s NPU to upscale visuals without developer input
  • AI-powered highlight reel that auto-captures gameplay moments for easy sharing

These features will launch first on the Xbox Ally line, then expand to other Windows devices next year.

Ecosystem and Community Impact

The Xbox Ally runs full Windows and works with Steam, Epic, Game Pass and other PC storefronts. These are Windows gaming PCs, not Xbox consoles, which makes them a direct path for Microsoft to expand PC Game Pass into handhelds.

Hands on Ally X | Credits: Windows Central

Unlike the Steam Deck’s Linux-based approach, the Ally offers a fully integrated Windows experience right out of the box.

Looking Ahead

Microsoft is developing improved docking support and optimized external display output for Xbox Ally devices. The rollout will continue in Brazil, India, Indonesia and Thailand later this year.

Xbox Ally could be a real shift for portable PC gaming. With Asus handling the hardware and Microsoft focusing on Game Pass and Windows integration, it’s a strong push toward making handheld PCs feel like a natural part of the platform.