<ul><li>Microsoft is partnering with PC maker Asus to launch an Xbox-branded handheld gaming device in 2025.</li><li>The device, called ROG Xbox Ally, will come in two models - ROG Xbox Ally (16GB) and ROG Xbox Ally X (24GB), with the Hollow Knight game available at launch.</li><li>This move will pit Microsoft against rivals like the Nintendo Switch 2 and the Valve Steam Deck in the handheld gaming market.</li><li>The device resembles an Asus ROG Ally but features an Xbox button, AMD Ryzen processors, Xbox controller configuration, Xbox cloud streaming capability, and will be released during the holidays of 2025.</li></ul>

Microsoft unveils Xbox gaming handheld launching in 2025

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