Microsoft is finally fighting back against the rise of SteamOS by overhauling Windows 11 to be better on handhelds

a person's hands holding a black PC gaming handheld
(Image credit: Asus)

  • The Windows 11 gaming user interface is set to become more console-like, taking inspiration from Xbox and simplifying controls
  • New design looks to become a more substantial rival to SteamOS and optimize usability
  • There will be a focus on enhancing controllers and handheld-specific features for seamless gaming

It looks like Microsoft has finally acknowledged that handheld gaming PCs could be better, primarily when it comes to running Windows 11 on them, and it wants to improve this experience.

Right now, Windows 11 simply isn’t great on these devices; it feels clunky and complicated, probably because Windows 11 is largely designed for desktops and larger devices in general, not compact handhelds without keyboards. This is all the more apparent when compared to the smooth interfaces of Xbox consoles or Valve’s SteamOS, which were specifically designed for their respective devices.

Now, Microsoft wants to bring the Xbox experience to Windows PCs, combining the two systems and elevating the handheld gaming Windows experience. This was hinted at during a roundtable discussion at the recent AMD and Lenovo “The Future of Gaming Handhelds” event by Microsoft VP of “Next Generation” (presumably the Next Generation of Windows handheld gaming PCs) Jason Ronald, which was held during the CES 2025 event in Las Vegas.

Microsoft’s goal appears to be to take the user-friendly, console-like features of Xbox like quick access to games and simple navigation, and integrate them into Windows for handhelds. This would make it easier to use Windows gaming handheld devices more intuitively, allowing you to pick up your device and play without fiddling with complicated settings or dealing with desktop-style menus.

Microsoft’s VP of “Next Generation,” Jason Ronald, hinted that they’re actively working on this and that we’ll see some big improvements this year. It’s not about building a brand-new Xbox operating system for PCs but rather improving Windows 11 itself to feel more like an Xbox when you’re gaming. The big idea? To make handheld Windows gaming as easy and enjoyable as playing on an Xbox, while still allowing you to tap into the flexibility of Windows if you need it.

When speaking to The Verge, Ronald elaborated on this by explaining that this will go beyond the current state of things where there are compact modes for Xbox apps in Windows 11, becoming a simplified experience similar to what you’d use on a games console. This includes tackling aspects like making Windows 11 work better with gaming controllers and designing Windows 11 to make better use of handheld gaming hardware.

Steam Deck

(Image credit: Steam Deck)

Could a game-changing update take on SteamOS?

This news is very welcome, as I know many people are very vocal about the fact that Windows 11 is the weakest part many gaming handheld PCs, including the Lenovo Legion Go, Asus ROG Ally X, and MSI Claw 8. The PC gaming handhelds that run Windows 11 will often use a proxy user interface to manage and run your games, but this can make for a slower and less-than-ideal experience overall. Furthermore, Windows 11 has SteamOS (a Linux-based operating system) to contend with, as we are beginning to see devices come in a version running SteamOS as well as Windows 11, like the Lenovo Legion S.

SteamOS is an operating system specifically designed to run games, has an easy-to-use dedicated user interface, and none of the baggage and bloat of Windows 11.

The roundtable conversation didn’t clarify if this will mean a special version of Windows for gaming handhelds or if Windows 11 will have additions made to it that make gaming on handheld PCs better. Ronald says his team is working on ‘fundamental interaction models’ that work regardless of what operating system is used by a device, and ensure that users get a solid gaming experience regardless.

It sounds like Ronald and his team perhaps have more in store, however, than just layering software on top of Windows 11 for gaming handhelds. We’ll have to see how this new system looks, performs, and feels, but it sounds pretty promising, especially as handheld gaming PC devices appear to be a booming market.

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Computing Writer

Kristina is a UK-based Computing Writer, and is interested in all things computing, software, tech, mathematics and science. Previously, she has written articles about popular culture, economics, and miscellaneous other topics.

She has a personal interest in the history of mathematics, science, and technology; in particular, she closely follows AI and philosophically-motivated discussions.