CheckMag | Microsoft's Xbox gaming handheld will fail unless someone else makes it

Unlike its rivals, Nintendo and Sony, Microsoft (read Xbox) has never launched a handheld gaming console, but that might change according to Phil Spencer, CEO of Microsoft Gaming. While that is a device to look forward to, I’d prefer if the Xbox handheld console isn’t (technically) made by Microsoft but by a third party or a partner company.

Despite Microsoft's experience in hardware manufacturing, I don't trust it not to fumble its first gaming handheld device which may eventually lead to a successor not getting released. Also, considering Microsoft will be playing catch-up in a space that has a lot of competition, and judging from its other hardware failures, it seems safer to work with a company that has experience. For this partnership, there are two ways I suggest it can go about it:

Before Google began manufacturing its Pixel line of phones and tablets, it had a Nexus program under which it launched a phone or tablet. The phone or tablet wasn’t manufactured by Google but by an original equipment manufacturer (OEM). Among these OEMs are ASUS, HTC, Huawei, Motorola, and Samsung. These established manufacturers possess years of expertise in crafting phones and tablets, delivering reliable and innovative devices to consumers worldwide.

For the Xbox gaming handheld, Microsoft could announce a similar program wherein it would partner with an OEM such as ASUS or Lenovo whose ROG Ally (curr. sold on Amazon at a discounted price of $399) and Legion Go (curr. available on Amazon for $580) gaming handhelds are among the best on the market. While most of the development would be handled by Microsoft, input from the OEM should also be sought. However, Microsoft should exclusively handle the marketing, sales, and after-sales support of the Xbox gaming handheld.

Microsoft can choose to brand the device with the OEM’s name alongside its own, and like the Nexus line of devices, alternate between OEMs for different iterations. So if it partners with ASUS for the first generation, it can partner with Lenovo for the next generation or MSI for the one after.

Another approach Microsoft can take for the Xbox gaming handheld is to create a smooth and stable custom Xbox software for gaming handhelds that can rival the Steam Deck's SteamOS and license it to manufacturers just as it does with Windows. Technically it won’t be making a gaming handheld if it adopts this method. However, its partners can launch gaming handhelds ‘Powered by Xbox’. Microsoft can set guidelines such as minimum specifications so that the software experience is smooth and buyers can enjoy all Xbox titles regardless of which manufacturer's console they purchase.

To stand out from the competition, manufacturers can tweak the design, ergonomics, control layout, battery capacity, screen size, etc of their gaming handhelds. It is also important to note that this solution solves some of the problems plaguing current Windows-powered gaming handhelds such as each manufacturer having a custom launcher and Windows not being handheld-friendly. 

There are a lot of unknowns concerning the Xbox gaming handheld and we don’t know if the idea won’t be shelved eventually. Nevertheless, if you could choose, which of these two paths do you think Microsoft should take for its Xbox gaming handheld?