[UPDATE - February 9, 2026] According to Windows Central, Microsoft hasn't actually committed to 2027 just yet, so it should be taken as a best case scenario. Read more about their report on this page.
[ORIGINAL STORY] The next-gen Xbox console from Microsoft, which we know will be powered by a semi-custom SoC currently in development from AMD, is "progressing well to support a launch in 2027," said AMD's chief executive officer, Dr. Lisa Siu, during the company's 2025 fourth quarter earnings call.
"For 2026, we expect semi-custom SoC annual revenue to decline by a significant double-digit percentage as we enter the seventh year of what has been a very strong console cycle," Dr. Siu said on the call. "From a product standpoint, Valve is on track to begin shipping its AMD-powered Steam Machine early this year. And development of Microsoft's next-gen Xbox featuring an AMD semi-custom SoC is progressing well to support a launch in 2027."
Dr. Siu's comment about the Steam Machine isn't anything new, as it only corroborates what Valve has said regarding the release of the Steam Machine, Steam Frame, and Steam Controller, which have always had an "early 2026" release window. It's her comments on the next-gen Xbox that are worth noting, which give credence to rumours we heard last year that also identified a 2027 release window for the next-generation device.
Of course, her comment doesn't mean you should write 'next-gen Xbox release' in your 2027 calendar, because it will ultimately be Microsoft's call as to when the device launches. What her comments do mean is that if Microsoft is in fact ready to launch this next-gen device in 2027, then AMD is currently on track to support that launch.
Officially, we don't know a lot about this next-generation device. Microsoft and Xbox have hinted at what it will be like, with Xbox president Sarah Bond hinting that the device will be a "very premium, very high-end, curated experience," while also adding that we can look to how the ASUS ROG Xbox Ally operates in a space between console and PC as to what Microsoft is trying to build with this new hardware.
Everything else we know about the device comes from reports and rumours, some of them supported by official comments, like how Bond calling it a "very high-end" device supports the rumour that it'll cost somewhere in the range of $1,000. Or how allusions from Bond and Microsoft's head of gaming, Phil Spencer, about the device being a PC/console hybrid support rumours that Microsoft is testing how it would put Steam on this new device, which is further supported by features added to software updates for Xbox development kits.
Other questions about the console, like what features the controller will include, whether it'll be a fully digital device, and if it'll have backwards compatibility, remain bigger questions for now. But at least we know that AMD is ready for it to arrive next year. Hopefully, Microsoft will be ready to launch next year, too, and we can learn more about what the company's plans are for its hardware, as console sales continue to decline each quarter significantly.
About the author: David has been writing about videogames, technology, and culture since 2020, with a focus on reporting daily news across multiple publications, including GameDaily.Biz, GameSkinny, and PlayStation Universe before joining Wccftech in 2025. David started contributing as Canada/US reporter for Wccftech's gaming section in 2025. Besides being up-to-date on the industry's movements, he loves interviewing developers, reviewing games, and writing intricate essays about the symbolism and layered meanings to be found in rich narratives as he's done for publications like GamesIndustry.Biz, LostInCult, and others. Outside of games he loves movies, music, theatre, his hometown, and his family, though not necessarily in that order.
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