Leaks Suggest Next Xbox Will Run Windows and Support Steam

Microsoft appears to be positioning its next Xbox as a true hybrid between console and PC. A recent leak claims the console will ship with Windows under the hood, enabling users to install and run Steam alongside the Microsoft Store. 

Early prototypes are already testing Steam integration within the Xbox dashboard, hinting at a forthcoming feature that lets players browse and launch their PC game libraries directly on the console.

Xbox Outside; Windows Under the Hood

Leaked job postings at Qualcomm initially sparked chatter about Arm‑based hardware. However, reliable sources confirm next‑gen console will remain on x86 architecture to preserve compatibility with existing Xbox and PC games.

Instead, Windows is expected to ship as the console’s primary OS, replacing the current Xbox OS shell with a more flexible Windows variant similar to SteamOS’s Big Picture mode.

Shell and UI Integration

Insider leaks describe a customized Windows “shell” tailored for living‑room use, featuring a console‑friendly UI and seamless switching between Xbox Game Pass titles and Steam games. A briefly published Microsoft image even showed a “Steam” filter in the Xbox library UI, reinforcing the strategy to blur console and PC ecosystems.

Steam and Epic Game Store Access on Xbox

Multiple outlets report that Microsoft is in talks with Valve and Epic Games to allow native client installations on Xbox hardware. This would give players direct access to millions of Steam titles and Epic’s exclusive offerings.

Compatibility and Emulation

To ensure backward compatibility, Microsoft is developing an internal emulator layer that lets the Windows‑based console still run legacy console games.

Experts predict next‑gen console will support every existing title at launch, underscoring the platform’s unified PC‑console identity .

Next-Gen Hardware Roadmap 

Reports indicate two distinct devices are in development: a dockable handheld codenamed “Keenan” slated for late 2025, and a traditional console arriving around 2027 . Both will run the same Windows‑based OS, ensuring feature parity across form factors and enabling PC‑grade performance on a Switch‑style handheld.

Moving toward Windows and PC storefronts aligns with Microsoft’s broader “play anywhere” vision, where software availability transcends hardware silos.