Microsoft decided to shut down the development of its portable Xbox. According to the leak, the company failed to reach an agreement with AMD, which demanded an order of more than 10 million chips to justify the creation of a separate processor.
Insider KeplerL2 reported that the corporation curtailed the project due to AMD's requirements:
«Microsoft canceled the release of the portable console because AMD demanded a minimum of 10 million devices under the contract!
The release of the portable console has been canceled because AMD demanded a commitment to produce more than 10 million devices to justify the creation of a specialized SoC. But since Steam Deck has only sold 5 million devices, and ASUS ROG/Lenovo Legion only 1–2 million, Microsoft didn't want to take the risk.
AMD needs a commitment to justify R&D expenses»
There are almost no details about the console, as the project was in its early stages. The device was supposed to use solutions from ROG Ally and receive a separate chip from AMD. But the parties failed to agree, and Microsoft preferred to shut down development rather than order a huge number of processors for which there would be no use later.