One of the most exciting new device categories is PC gaming handhelds. Companies like Valve, Lenovo, ASUS, GPD, and more have begun to incorporate the technology, inspired by Nintendo’s monolithic efforts with its Switch and other pioneering gaming handhelds. In 2025, we have a vast plethora of options to choose from, and later this year we will have even more.
Announced at CES 2025, Valve revealed that Steam OS, developed for the Steam Deck, will become completely device independent. The Lenovo Legion Go S will be the first third-party Steam Deck, offering a non-Windows variant of their line of PC gaming handhelds for the first time. To that end, Microsoft has undoubtedly started to feel the pressure, as Steam OS has highlighted the difficulty of using Windows on devices like this. With maximum compatibility comes maximum technical debt, and it seems Xbox Next-Gen VP Jason Ronald agrees.
In his comments to The Verge during a panel featuring Valve and Lenovo, Ronald remained optimistic about what Microsoft can bring to the market here. Ronald described how Microsoft intends to bring the gaming-focused usability of the Xbox operating system directly to Windows.
“I would say it brings together the best of Xbox and Windows, because we’ve spent the last 20 years building a world-class operating system, but it’s really tied to the console. What we’re doing is that we’re really focused on how can we bring these experiences for gamers and developers to the broader Windows ecosystem (…) I think we’ll have a lot more to share later this year.
Indeed, for anyone who’s used a device like the ASUS ROG Ally or the Lenovo Legion Go, there’s no denying how messy it is compared to Valve’s Steam Deck or the Nintendo Switch. Windows was absolutely not designed for this type of system, and to really get the most out of Windows-based PC gaming handhelds, you need to have a pretty good understanding of PC gaming in general. By comparison, the Steam Deck is largely plug and play, designed entirely to be navigable with joysticks, with built-in trackpads for when games expect the presence of a cursor. Additionally, the Steam Deck also doesn’t prevent users from tinkering, unlike traditional console platforms like the Xbox or PlayStation, which are completely locked down. I was able to install non-Steam games on my Steam Deck quite easily before upgrading to a Lenovo Legion Go.
Microsoft has been gradually improving the experience on Windows-oriented PC gaming handhelds, with a compact mode for the Xbox Game Bar for example. To this end, Ronald described how Microsoft’s goal is to make Windows more adaptable to different types of devices, taking advantage of the Xbox interface.
“I think ultimately our goal is to make Windows great for gaming on any device. The reality is that the Xbox OS is built on top of Windows, so we’ve built a lot of infrastructure in the console space that we can bring to the PC space and really deliver that premium gaming experience on any device (…) There are just some things in Windows that weren’t designed for that. you do not have a keyboard and mouse, such as support for controllers. or joypads and stuff like that.”
Steam OS finally brings Windows some serious competition in the consumer space
Windows has enjoyed a general monopoly for decades, being the first choice for desktop operating systems in almost every consumer scenario imaginable. I would argue that its dominance in this area has also caused it to stagnate, without serious competitors in the space pushing Windows to deliver a better experience.
In 2015, Microsoft CEO Satya Nadella said he wanted people to move from using Windows to loving Windows. In 2025, this dream could not be further from reality. Just scroll through celebratory comments on social media or PC gaming articles to see how gamers are ready for a real alternative to Windows, after years of “enshittification”, with in-app ads, bloatware, alongside a (at least perceived) nonchalance. approach to privacy. To be fair to Microsoft, though, Windows isn’t exactly subsidized to the same degree as operating systems like Android, iOS, or Steam OS, lacking a “default” digital storefront to generate ongoing revenue. Microsoft recently noted that Google makes more money from Windows than Microsoft itself, due to the historically open nature of Windows. Licensing is the entire Windows business model, which is also problematic when it comes to making devices more affordable at the point of sale, as OEMs pass on licensing fees to customers. consumers.
Either way, I’d say that going with a developer and consumer-first approach would be the best way to start fixing things, in an age where Windows feels less like the center of Microsoft’s attention and more like any other moment in my life. An Xbox operating system for gaming handhelds would be a dream, subsidized by a front and center Xbox Store. The Xbox app for Windows is set to be a much more open platform for game developers, with significantly streamlined certification processes and reduced publishing requirements. The lack of truly organic growth from publishing to the Microsoft Store is extremely telling, with developers likely to only support Xbox on PC if they are part of a publishing deal as part of Xbox Game Pass.
The obstacles to getting Windows where it needs to be for gaming are many and multifaceted, both externally and internally. Different departments within Microsoft are responsible for different parts of the Windows experience, and the company sets the rules and policies that stifle the platform’s organic growth. Navigating Microsoft’s enterprise infrastructure to improve Windows for gamers may prove even more difficult than developing the technology itself.
Ultimately, there’s a reason why gamers And developers prefer Steam. It’s absolutely crucial to the future of Windows that Microsoft starts listening to them – the rise of Steam OS may leave them no choice. Of course, Microsoft still has the ability to move people from “using Windows to loving Windows” if it wants to.