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Microsoft has formally denied rumors that it has scrapped plans for a next-generation Xbox console, reaffirming that its hardware roadmap remains intact. Sources say the lack of public announcements does not signal cancellation, rather, development continues behind the scenes.
The speculation gained strength after prolonged silence about any successor to the Xbox Series X|S, prompting some observers to suggest Microsoft might abandon hardware in favor of cloud and subscription models. In response, company insiders and official statements clarified that next-gen Xbox remains an active priority.
Microsoft reaffirmed its investment in first-party consoles, citing ongoing collaboration with AMD as evidence of future hardware ambition.
Microsoft’s growing emphasis on Game Pass, cross-platform play, and cloud gaming has intensified debate over the console’s future. Some internal leaks and rumors even proposed a shift toward a hybrid “console + cloud” model, weakening belief in standalone consoles.
Meanwhile, whispers circulated that Microsoft might pivot fully to software publishing and let its IPs live across platforms without dedicated hardware.
Rather than abandoning the console space, Microsoft appears to be broadening its hardware vision. According to analysts, the company is expanding its partnership with AMD to co-develop next-gen silicon and explore multiple device types, including handheld, modular, and hybrid form factors. The Xbox app on PC has started integrating games from other digital storefronts, and earlier this year, Microsoft briefly shared an image of a new Xbox UI showing a Steam integration.
