Xbox Nano can bypass Bluetooth. Microsoft has devised a way to reduce gaming latency

Microsoft has launched the compact Xbox Nano gamepad for $49.99, which can connect directly to servers via Wi-Fi during cloud gaming.

Microsoft has unveiled the Xbox Nano controller with Direct-to-Cloud technology, which allows connecting to Xbox Cloud Gaming servers directly via Wi-Fi and potentially reduces input latency.

The corresponding setting has already appeared in the Xbox Cloud Gaming menu. Connecting requires the Xbox mobile app, through which the gamepad can be linked to Microsoft servers.

The main difference from standard Bluetooth lies in command transmission. A conventional controller first connects to a TV, PC, or another device, which then sends the signal to the cloud service. Direct-to-Cloud eliminates this intermediary step, which should reduce in-game latency. A similar technology was previously used by the Google Stadia controller.

For now, the feature is not officially available to all users and remains in testing. It is possible that Microsoft will add it to other gamepads in the future, including the upcoming Elite Series 3.

Image source: The Verge

The Xbox Nano went on sale on November 4, 2026, priced at $49.99. The compact controller weighs 99 grams and supports connectivity via Xbox Wireless and Bluetooth. Direct-to-Cloud could become its key advantage over the company’s other gamepads.