Not too long ago Microsoft made some comments that strongly suggested that the company doesn’t see a future in the console market. Sony’s sheer dominance is undeniable but a monopoly is never good. Fortunately, it seems Microsoft is not dropping out of the console race.

A traditional next gen Xbox console is in development and its SoC is from AMD, currently in development as well. According to insider KelperL2 who posted on NeoGaf, a next-gen Xbox is in development, and it is not a PC with Steam integration as some rumors claimed.

Source

Replying to someone who said it is a PC-like machine, KelperL2 stated: “Nah it’s just a normal console.”

Microsoft shifted its focus away from exclusive console games and more toward opening up its platform in recent times. Who would have thought back in 2008-9 we will see Gears of War on PlayStation?

However, keeping the console around makes sense, still.

LayerRole
Cloud & third‑party hardwareBroad reach across devices
Xbox consolesAnchor point: premium performance & ecosystem
Game Pass + PC + CloudMax reach and flexibility

Keeping the console in the mix ensures that Microsoft caters to every type of gamer: casual, core, and nostalgic. But can Xbox regain its lost market share in the console space? Doubtful.