While Microsoft has reportedly canned its dedicated Xbox handheld, it seems the company is still interested in handheld gaming in some form, working on the leaked Xbox Project Green Leaf to address the efficiency gap between Windows-based handhelds and the Steam Deck by integrating power-saving measures directly into the Xbox GDK.
The core of this project, according to the information leaked by Moore's Law is Dead, is centered on two performance profiles called Power Optimized (PO) and Power Optimized Plus (PO+). These are not presets, but actually require developers to implement resolution scaling or performance caps for non-essential gameplay moments, such as menus, lobbies, or other low-detail environments the player is unlikely to pay much attention to.
According to internal tests conducted with some games, including Fortnite, the Project Green Leaf initiative is really promising, delivering up to 30% power consumption savings.
For the average user, these power consumption savings, much like those offered by the PlayStation 5’s Power Saver Mode, may not mean a lot. However, Moore's Law is Dead argues that the initiative's true goal is to address one of the most critical issues, if not the most critical, of the current Windows handheld gaming devices, short battery life, while providing developers with more flexibility to maintain perceived performance while extending play sessions, in stark contrast with Sony’s more restrictive hardware-level approach which could have a significant impact on the rumored handheld.
With the first iteration of Project Green Leaf reportedly scheduled to roll out as early as May or June 2026, it is clear that Microsoft still considers the handheld experience a pillar of its hardware ecosystem. Whether this initiative will lead to any meaningful changes remains to be seen, but Windows handheld owners definitely have something to look forward to.
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