Microsoft is developing a next-generation Xbox console projected to launch in 2027 or 2028, as revealed in leaked documents related to the FTC's case against its acquisition of Activision. This new console is expected to mark a significant performance leap over the Xbox Series X and Series S, with a focus on integrating cloud computing capabilities alongside local hardware. Microsoft plans to introduce a crypto wallet as part of its ecosystem, enabling various in-game economies. The new Xbox could potentially include a hybrid model that utilizes both local and cloud-based computing to enhance game performance. Additionally, an interconnected strategy emphasizes compatibility across generations, allowing users to access previous titles seamlessly. Another key development is the announcement of the Xbox Ally, a handheld device that supports Xbox games, thereby expanding their gaming platform. Microsoft aims to deliver the largest technical advancement seen in console history with this upcoming hardware, while specific launch details and pricing remain unconfirmed.

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