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Next-Gen Xbox Could Go Full PC – Hosting Steam, Epic, and More, New Rumours Indicate

The AMD chip that looks to be surging power through the next generation of Xbox consoles, will also look to boot up Xbox-branded PCs, but only the consoles will offer backwards compatibility, according to rumours. Microsoft’s rumoured next-gen console may well end up costing a fair bit more than the other contenders on the market, such as the next PlayStation. 

According to the well-known leaker KelperL2, the AMD chip which is powering the next-gen Xbox consoles which are codenamed “Magnus” right now, will also be used to bring power to apparent Xbox-branded PCs. KelperL2 also noted that the console will only have backwards compatibility when it comes to gaming, which in hindsight kind of sucks, but Xbox is Xbox

KelperL2, on the same forums where these rumours were unearthed, noted that, because the console and the Xbox-branded PC have the same chip, the console is looking to be expected to run PC storefronts such as Steam and GOG. Due to this major change is directive in Xbox’s console business model, it looks like the next big thing for the gaming company could end up costing roughly around twice the amount the PlayStation 6 will cost. Our poor, poor wallets…

The big note to take is that the branded PCs will not have access to the Xbox games, and this will all boil down to legal issues such as licensing. Now this is because publishers won’t be keen on having to change their Xbox licenses to PC licenses, and because of that, it means that only the Xbox play anywhere titles would be available to play both on the next Xbox console and the Xbox branded PCs. KeplerL2 has noted on this that the publishers aren’t actually happy with the Xbox play anywhere initiative because players can buy a single copy of a game and in hindsight own it on both Xbox and PC. Cue Mr. Krabs’ “Money, Money, Money.” 

However, the legal issues seem to be no issue, the other way around for the console players being able to access their Steam and GOG libraries though. This will seemingly be because publishers from said platforms would like their titles to see more eyes, especially the smaller creators within sub-genres such as indie devs and new developers coming onto the scene to make their breakthrough titles. More eyes = more revenue, and the smaller creators will want their eyes to be fixed on their launches, whilst the console publishers, which may have, for example, released large games which are worth paying money for, are losing a percentage of revenue from that spoken of the Xbox Play Anywhere initiative and games only being bought once. 

Now onto the price point, the next generation of Xbox could end up costing a nice little price. This will be mainly because of the loss in revenue coming from Microsoft allowing Steam and GOG storefronts on the said console. Microsoft as we know, gets 30 percent from any game sold on its store, whether that be digital or physical, and since this is a big profit margin moving away, it could force Microsoft into adjusting their price for the next console, which still gives them the financial gain. Fair price for more game access I suppose! 

This would all state Microsoft’s intention to cast a bigger net for its fans, aiming to get more gamers on board for the next generation of consoles and to grab the attention of PC fans. PlayStation, however, seem keen on moving into the handheld market once again as they look to bring a handheld machine onto the market alongside the PS6. Now that being said, it doesn’t just mean Microsoft are looking to tap out of the handheld race just yet, as they also have handheld gaming systems coming soon in their collaboration with Asus. This brings us the ROG Xbox Ally and Xbox Ally X. 

Both the Xbox Ally and Xbox Ally X look to hit the shelves globally on October 16th, with fans ready and waiting to grab the handheld console right off the same shelves! Microsoft gave us a little taste of what’s to come at Gamescom 2025 last month, showing us the UI of the handhelds as well as the new Handheld Compatibility Initiative. Xbox and their pesky initiatives, hey no shade, it’s bringing accessibility and gaming to more people. What’s not to love here? 

It comes as no surprise that Xbox would look to expand into the PC market for me, as they have announced that the handheld consoles will have full PC gaming compatibility, much like the Steam Deck, just with the added spice of the Xbox library on there as well. This would inevitably hint at the next generation having a cross-over of its own with Steam being on a home console rather than it being a handheld, which would be crazy exciting! 

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