Xbox has officially entered a multi-year strategic partnership with AMD to co-develop the next generation of gaming hardware. This bold collaboration is set to influence not only future Xbox consoles but also handhelds, cloud devices, and accessories. 
Sarah Bond, President of Xbox, shared the vision behind the deal: a seamless Xbox experience across devices, where your game library follows you wherever you go.
“Together with AMD, we’re shaping the future of gaming silicon,” Bond said in her video announcement. She emphasized breakthroughs in visual fidelity, immersive gameplay, and AI-enhanced experiences-all while ensuring backward compatibility. This means your current Xbox game library will still be relevant when new devices arrive.
The announcement solidifies rumors that Microsoft is skipping a mid-gen refresh (unlike Sony’s PS5 Pro) and instead leapfrogging toward the next big evolution in gaming. While Bond avoided repeating her earlier tease of the “largest technical leap ever,” the AMD deal signals that the next Xbox could be a major step forward-potentially integrating advanced AI features and custom-designed chips.
Microsoft is also doubling down on Windows as the core platform for gaming. Their collaboration with the Windows team suggests a push to unify the Xbox and PC ecosystems even further, with shared infrastructure and services across devices. This could mean deeper cross-play integration, improved performance on gaming PCs, and broader access to Xbox content through the cloud.
Though the actual hardware may still be years away, this announcement is a clear statement: the next generation of Xbox is in the works, and Microsoft wants to lead the charge-blending power, portability, and platform freedom into one cohesive gaming experience.