Nintendo's new Switch 2 console sold a record 3 million units after its launch Thursday. But then today Microsoft announced their own upcoming handheld gaming device that's Xbox-branded (and Windows-powered).

Working with ASUS' ROG division, they build a device that weighs more than the Nintendo Switch 2, and "is marginally heavier than the Steam Deck," reports Engadget. But "at least those grips look more ergonomic than those on the Nintendo Switch 2 (which is already cramping my hands) or even the Steam Deck." There are two variants of the handheld: the ROG Xbox Ally and ROG Xbox Ally X. Microsoft didn't reveal pricing, but the handhelds are coming this holiday... Critically, Microsoft and ROG aren't locking the devices to only playing Xbox games (though you can do that natively, via the cloud or by accessing an Xbox console remotely). You'll be able to play games from Battle.net and "other leading PC storefronts" too. Obviously, there's Game Pass integration here, as well as support for the Xbox Play Anywhere initiative, which enables you to play games with synced progress across a swathe of devices after buying them once...

There's a dedicated physical Xbox button that can bring up a Game Bar overlay, which seemingly makes it easy to switch between apps and games, tweak settings, start chatting with friends and more... You'll be able to mod games on either system as well.

The Xbox Ally is powered by the AMD Ryzen Z2 A Processor, and has 16GB of RAM and 512GB of SSD storage. The Xbox Ally X is the more powerful model. It has a AMD Ryzen AI Z2 Extreme processor, 24GB of RAM and 1TB of storage. They each have a microSD card reader, so you won't need to worry about shelling out for proprietary storage options to have extra space for your games... Both systems boast "HD haptics..." Both systems should be capable of outputting video to a TV or monitor, as they have two USB-C ports with support for DisplayPort 2.1 and Power Delivery 3.0.

"Microsoft has needed to respond to SteamOS ever since the Steam Deck launched three years ago," argues The Verge, "and it has steadily been tweaking its Xbox app and the Xbox Game Bar on Windows to make both more handheld-friendly..." But there was always a bigger overhaul of Windows required, and we're starting to see parts of that today. "The reality is that we've made tremendous progress on this over the last couple of years, and this is really the device that galvanized those teams and got everybody marching and working towards a moment that we're just really excited to put into the hands of players," says Roanne Sones, corporate vice president of gaming Devices and ecosystem at Xbox, in a briefing with The Verge...

I'll need to try this new interface fully to really get a feel for the Windows changes here, but Microsoft is promising that this isn't just lipstick on top of Windows. "This isn't surface-level changes, we've made significant improvements," says Potvin. "Some of our early testing with the components we've turned off in Windows, we get about 2GB of memory going back to the games while running in the full-screen experience."