If you've been in the handheld scene for a little while now, you'll know that there have been whispers of an Xbox-branded handheld console in the works. It makes a ton of sense; there's already a ton of gaming handhelds out there that run Windows 11, and Microsoft is by no means a stranger to creating gaming hardware.

The company has an uphill battle if it wants to enter the handheld gaming market right now. Not only has the Steam Deck made its mark on the industry, but it has also sparked a wave of competitors who have created their own takes on portable gaming PCs. As such, here are some things that Microsoft needs to nail if it wants its own console to do well.

Controls that are on par with the Xbox Controller quality

Anything else would be a disappointment

Despite not owning an Xbox, I have an Xbox Series X controller kicking around. Why? Because I absolutely adore it for PC gaming. Something about the build quality and how the sticks and d-pad feel keeps me re-purchasing Xbox controllers whenever I need one to play specific games on PC.

So imagine if Microsoft comes out with a handheld and the controller feels nothing like the same quality as the Xbox controller. It'd be a major disappointment, to the point where some people may even connect an Xbox controller to the handheld to get the superior feel.

Microsoft has proved that it knows its stuff regarding controllers, so it cannot afford to skimp on the sticks and buttons. Anything less would be a major letdown for people who expected the same build quality that went into Xbox accessories.

A budget model purely for cloud gaming

Take advantage of the Xbox Cloud Gaming service

When Microsoft does enter the scene, it needs to decide which side of the scale it wants to be on. Does it want to be the weaker but affordable option? Or should it become the expensive but luxury choice? In order to succeed, the company needs to offer people a reason to buy the Xbox handheld over a Steam Deck, and the easiest way to do that is to make a console that's either cheaper or more powerful.

Fortunately, Microsoft has a shoe-in for the former option. It has the Xbox Cloud Gaming service that Game Pass Ultimate streamers get access to, and streaming games requires far less powerful hardware than rendering them on-device. So, Microsoft can really capitalize on that by creating a less beefy model that focuses wholly on streaming games instead of processing them. Now you don't need a mighty CPU and GPU on board, nor do you need advanced cooling systems to keep the hardware cool. Bingo; you've just made a budget-friendly handheld without skimping on quality.

A better version of Windows 11 for handhelds

The competition is heating up

When the topic of an Xbox handheld consolecomes up, it begs the question: which operating system will it use? Just kidding, we all know it's going to be Windows 11. Why wouldn't it be? It's Microsoft's pride and joy after all, and the company has been hard at work tweaking the operating system to better suit handhelds.

But it needs to do a lot better. The competition has just gotten fierce with Valve getting SteamOS ready for a general releaseso Microsoft doesn't have the privilege of being the only operating system people can use on their handhelds.

If Windows 11 fails to capture the hearts of handheld gamers before the Xbox portable PC comes out, Microsoft is going to have a hard time shifting it. After all, it will be the Windows 11 handheld device, and if people have already pinned the operating system as generally sub-par compared to SteamOS, then it's going to be an upward battle to convince people to make the jump.