Microsoft reportedly has plans set in motion to release its next Xbox in 2027. Along with the new console, there might be another handheld with this one being a proper Xbox handheld. What might happen is that the handheld is a lower-powered console, like the Xbox Series S, and the new home console will be more like the Xbox Series X.

A new next-gen Xbox console will reportedly come out in 2027 with plans for a handheld later this year. Here's what we know.

Microsoft Gaming CEO Phil Spencer told Polygon he couldn’t stop thinking about what an Xbox handheld could be. Months later, Spencer told Bloomberg Microsoft had indeed been thinking about it, but that it’s a piece of hardware that’s still years out from becoming a reality.